HMRC PAYE Late Filing Penalties Come into Force 6 March 2015

Since the introduction of RTI (Real Time Information) filing for PAYE back in 2013, HMRC have been relaxed on introducing penalties.

However, these penalties are now in force for all Employers.

 

When Could You Get a Penalty?

 

When Don’t HMRC Charge a Penalty?

  • you’re a new employer and you sent your first FPS within 30 days of paying an employee

 

What Are the Penalties?

How much you’re charged depends on how many employees you have:

 

Number of employees Monthly penalty
1 to 9 £100
10 to 49 £200
50 to 249 £300
250 or more £400

 

If you’re over 3 months late you can be charged an additional penalty of 5% of the tax and National Insurance that you should have reported.

If you run more than one payroll, you will be charged penalties for EACH payroll.

Also be aware that HMRC are charging penalties quarterly, so the first time you get a penalty, it may be for up to 3 months!  AND they are not notifying us as your Accountants.

 

How to Ensure you Don’t Get a Penalty:

If we at Kinder Pocock are running your payroll, make sure you read every email you receive from us.  To ensure that we file the correct information with HMRC we do need your approval of your payroll figures before filing online on your behalf.

  • Always give us your payroll information in good time, and at least 2 days before your normal processing date.
  • Always let us know straight away of any employee changes, eg new staff or leavers, so that we can ensure that we include the correct information.
  • Once we have submitted to HMRC, we cannot resubmit.

 

Need More Info?

I hope this is helpful.  Please contact me, Sharon, or Rich Beale if you have any questions.

You can also refer to HMRC’s online guidance on penalties.

Sharon: sharon@kinderpocock.co.uk

Rich: rich@kinderpocock.co.uk