Are you one of the 70,000 employers at risk of RTI penalties?
As payroll year end rapidly approaches, over 70,000 employers are being contacted by HMRC and urged to make their Real Time Information (RTI) submissions or face financial penalties.
According to HMRC employers that have never used the new system to submit PAYE returns in real time are being contacted this week informing them that they need to do so by the end of the financial year. If they fail to do so they face penalties of at least £1000, dependant on their number of employees and length of time involved.
HMRC began chasing employers who have missed RTI deadlines back in September 2013, when it was announced that around 176,000 employers had missed one of more deadlines for reporting PAYE in real time.
Ruth Owen, HMRC’s Director General for Personal Tax said: “Over 99 per cent of PAYE records are being successfully reported in real time and the majority of businesses say they find the new system easy to use. So those who have not begun using the system should not stick their heads in the sand. They need to act now to ensure that they don’t get a penalty at the year end.
Employers who no longer need their PAYE schemes should tell HMRC as soon as possible. HMRC has lots of help and support for employers on its website.
PAYE schemes that pay their employees only annually, and which are registered with HMRC as annual schemes, should also make sure that they are ready to send their PAYE information to HMRC by the deadline.”