Partner Article

Warning to employers over missed RTI deadlines

Leeds-based chartered accountancy firm Thomas Coombs is warning that employers who have missed one or more deadlines for reporting their payroll information using the Real Time Information (RTI) system are now being targeted by HM Revenue and Customs (HMRC).

Under RTI, employers are required to submit details of salary payments and PAYE deductions as they are made, rather than waiting until the end of the month or tax year as they did previously. The smallest firms, with fewer than 50 employees, have a more relaxed monthly RTI reporting arrangement until April 2014 – a further extension on the previous start deadline of this month (October).

However, HMRC has identified 167,000 employers who have missed deadlines for a PAYE submission using RTI. It has now written to them to remind them of their obligations.

HMRC has already announced that it will impose financial penalties for errors in submissions from April 2013, and on late filing of returns from April 2014.

Christopher Darwin partner at Thomas Coombs, said: “HMRC has already identified tens of thousands of businesses who have missed RTI deadlines, so the message to employers is to be sure you are meeting your obligations.

“If you employ fewer than 50 people then you do not have to start using the full RTI procedure until April next year, although now is the time to start preparing. Equally, if you have not reported yet because you do not pay anyone or your PAYE scheme is no longer operating, then you still need to tell HMRC.

“If you do not take action now and HMRC later finds that you have not met your obligations then you could face penalties. If in doubt, seek professional advice.”

For further information, please contact Christopher Darwin email: christopher.darwin@thomascoombs.com.

This was posted in Bdaily's Members' News section by Christopher Darwin FCA - Thomas Coombs Chartered Accountants .