What Is The P32?
The P32 report is a summary of the amounts you have paid or are due to pay over to HMRC. This is split into the 12 tax months and contains everything from PAYE to the Employment Allowance.
When Are The Payments Due
You must pay your PAYE bill to HM Revenue and Customs (HMRC) by:
the 22nd of the next tax month if you pay monthly
the 22nd after the end of the quarter if you pay quarterly - for example, 22 July for the 6 April to 5 July quarter
You need to ensure payment clears with HMRC no later than the 22nd. Based on your payments method this may mean you need to make the payment earlier. For example, Direct Debits take 5 days to clear.
What Reference Should You Use For Payment
You should use your Accounts Office Reference Number as the reference for payments. You can add 4 digits to the end to let HMRC know what period you are paying for also. For example, I would enter 2101 for April 2021 PAYE bill.
The reference can be really critical! If you do not clearly specify what period you are paying for, HMRC will just use the payment to clear off the oldest debt first and this may leave you in an overdue position for PAYE.
Where You Can Find The P32 On MDA
You have to be in the company to view this report and it can be found under Payroll -> Reports, as shown below.
This is what the report looks like. As you can see, there is a dropdown in the top right allowing you to see the last 3 years' data as well. You can also export the report to excel should you find it easier to reconcile that way.
Where Does The P32 Get The Figures From?
The P32 looks at all the payrolls ran for the months when you click to view this report. But verified payrolls aren't the only things that cause these figures to change.
Payroll rollbacks also affect the figures shown as once you rollback a payroll, it's as if it never happened and therefore the PAYE liability changes.
The system checks for any changes made when you click on the report, this helps ensure the data you are viewing is 100% accurate.
What To Do If The P32 Doesn't Match HMRC's Online Dashboard
There are a number of reasons these two reports may not match and the first step to take in identifying the issue is checking all submissions have been made to HMRC.
Have all FPS been sent without failure
Have you submitted the CIS300
Did you claim back and Stat payments that the P32 suggests
Are you claiming the employment allowance
Have you submitted the App Levy due on your EPS
Did you rollback any payrolls and not re-submit the FPS in error?
Often you will find HMRC take up to 10 working days when allocating late filings so if you did need to correct any of the above, it's best to leave it for those 10 days before checking again.
Once you've verified all these have been submitted it's best to reach out with HMRC and query any differences. We can help provide you with your RTI data if needed.