Penalties and PAYE RTI
Professional tax bodies have asked the government to refrain from charging penalties on employers under the new RTI system for PAYE.
The enhanced penalties for late submissions and errors on returns are already causing problems. The view is that HMRC should not seek to charge penalties for late payroll returns until the RTI system is fully tested and shown to be working properly.
Just to remind you, under RTI employers will have to send information about PAYE deductions as they are made rather than at the end of the tax year, as now.
Some specific concerns are:-
• The deadline by which RTI Full Payment Summary returns have to be submitted – normally on or before payday - will be difficult to meet.
• Late nil returns could trigger penalties.
It is hoped that HMRC will agree and take a reasonable stance on the RTI penalty issue. We will, though, have to wait for any confirmation.
Date: 26th September, 2012
Articles from this Author
Contact Business Service Partners
Choose from the drop down menu below to select a Partner to contact.
Business News from Mercer & Hole Accountants - Considering outsourcing your financial functions? Read on... mailchi.mp/stalbans-chamb…
For the latest Mercer & Hole news, visit our LinkedIn page mercer-&-hole