HMRC Updates
Tax repayment deadlines
HMRC have recently published the deadline dates for making claims for a repayment of tax. If you have outstanding claims which need to be sorted out make sure they are resolved quickly. The deadlines for tax years 2003/04 and onwards are:
Within Self assessment
2003/04 - 31 January 2010
2004/05 - 31 March 2010
2005/06 - 5 April 2010
2006/07 - 5 April 2011
2007/08 - 5 April 2012
2008/09 - 5 April 2013
Filing payroll forms P45 and P46.
Larger employers, 50 or more employees, already have to file these forms online. From April 2011 all employers will have to file starter and leaver forms online (P45 and P46).
PAYE/NIC New Late payment penalties from 6 April 2010
All employers will be subject to the new late payment penalties from May 2010. This includes payments of:
- Tax
- National Insurance Contributions (Class 1, 1a, )
- Construction Industry Scheme deductions
- Student Loan deductions.
The penalties payable will be calculated as follows on the amount of the late monthly or quarterly payment:
- On the first late payment in a tax year - no penalty
- Between 2 and 4 late payments a year - 1% (ignoring the first late payment in the year)
- Between 5 and 7 late payments a year - 2% (ignoring the first late payment in the year)
- Between 8 and 10 late payments a year - 3% (ignoring the first late payment in the year)
HMRC also have powers to charge penalties at 5% if an amount is outstanding for 6 months and again at 12 months.
Interestingly if you can argue that you have a reasonable excuse for being late in your payment HMRC may waive the penalty. HMRC define reasonable excuse as something:
- unusual
- that you could not reasonably have known would happen, and which
- you could not do anything to prevent.
If you do experience difficulties in keeping your PAYE payments up to date you can still ring the Business Payment Support Service on 0845 302 1435, or call us and we will negotiate for you
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