PAYE Penalties from April 2010
HM Revenue and Customs are introducing a new penalty regime which applies to all employers for late payment of PAYE/NIC from April 2010.
This means that the 1st payment of PAYE/NIC for month 1 of 2010/2011 has to be paid to the tax office by the 19th of May. Subsequent payments, where the 19th of the month falls on a weekend or bank holiday, must be at the payment office by the previous Friday.
The penalty will be calculated as percentage of the amount due, with the percentage levied ranging from 1% to 4% which will be dependant on the number of times you have been late.
This is only the first stage of the Revenue charging penalties on late payments as interest on late payments will be introduced possibly as early as April, 2011.
If you are currently behind with your PAYE/NIC payments, you should ensure you have them paid up to date by 19 April, 2010. If this is a problem you should contact the partner you deal with, to discuss the matter further.
