Employment Allowance 26/27

Hey, Richard. To help me look into this properly, could you confirm two things? First, are you on Payroll Core or Payroll Advanced? Second, have you updated your Payroll Settings specifically for the new 26/27 tax year to include the Employment Allowance?

Normally, once that toggle is enabled, the credit is calculated and generated automatically on the Employer Payment Summary (EPS). The EPS itself auto-generates monthly, though you may still need to hit submit manually depending on your current Payroll setup.

Here's how to check for both plans:

If you're on Payroll Core, you'll have to head to Payroll Settings and select UK Tax. From there, scroll down to find the Employment Allowance section, select Yes, I qualify, and enter the exact credit amount you've used since April 6th of this tax year.

If you're on Payroll Advanced, go to Payroll Settings and select HMRC Settings instead. From there, make sure that your Employment Allowance is actually toggled on 26/27 tax year. At the bottom, tick Yes to include the Employment Allowance in your journal entries.

Once those settings are confirmed, if any manual adjustments are needed on the account side, you'll have to directly get in touch with our Payroll Live Support team. While we can't directly assist you with account mapping adjustments, our Payroll Experts have the backend access needed to further investigate and make those specific adjustments for you.

Let me know how it goes for you.