News
Real – time PAYE returns penalties to be phased in
01 - 10 - 2014
From the 6th March 2015 employers with fewer than 50 employees will face automated in year penalties for real time PAYE returns.
From the 6th October 2014 those who employ 50 or more people will face penalties.
HMRC Director General for personal tax, Ruth Owen said –
Real time information is working well, our most recent figures show that over 95% of PAYE schemes making payments to individuals are successfully reporting in real time, and 70% say that it is easy to do.
"We know from our experience of rolling out of RTI that to ensure a smooth transition for our customers it’s best to introduce changes in stages.
"This will allow us to update our systems and enhance our guidance and customer support as needed. We know that those who have had most difficulty adjusting to real-time reporting have been small businesses, so this staged approach means they have a little more time to comply with the new arrangements before facing a penalty.
"We believe this is the best approach for HMRC and our customers, as we all get used to the new in-year penalties."
HMRC will also examine alternative ways to encourage employers to comply with the rules in addition to penalties, in the run up to March 2015.
If you would like any further information on RTI please contact Foremans LLP on 01244 62 55 00.
