Tax & Accounting News

Penalties for late PAYE returns

19/04/2010

HM Revenue and Customs (HMRC) has issued penalty notices to employers who are yet to submit annual PAYE returns (P35 and P14s) that were due by 19 May 2009.

The notices, which began going out on 23 January, followed a first round of letters sent in September.

The penalty is £100 per 50 employees for each month that a return is outstanding, between 20 September 2009 and 19 January 2010, meaning firms whose forms have still not been submitted now face a minimum penalty of £400.

Firms with 50 or more employees must file their returns online, with a separate penalty for anyone submitting on paper, for using the wrong filing method. Smaller firms may still use paper returns this year, but from the tax year 2009/10 onwards, all employers must file electronically.

For more information please contact us.