Following the introduction RTI earlier this year, HMRC wants to help employers get things right and avoid incurring penalties. To that end, in October they will introduce a series of new notifications aimed at helping employers to manage their PAYE affairs. These will be referred to as ‘generic notifications’ (GEN).
What are generic notifications?
These are electronic messages to help you manage your PAYE affairs. For example, the GEN may be a ‘late payment’ warning message, a ‘final payment’ demand message or a message about future processing standards etc. In short, any communication text that is not already catered for can be sent as a GEN by HMRC. Initially HMRC will be sending four types of messages to employers, all of which are designed to advise employers that they are at risk of incurring penalties in future. Their September bulletin contained the following:
- A non-filing notice
This will be sent to an employer when our records show that they appear not to have sent one or more of the Full Payment Submissions (FPSs) that we expected for a particular period. It will explain that the employer is running the risk of incurring penalties – and what to do to avoid them.
- A late filing notice
In a similar vein, this will be sent to an employer who appears to have submitted FPS late. It will remind employers that FPS should be sent on time – and that penalties may be charged in future if they are not.
- A late payment notice
This notification will be sent where an employer appears not to have made full payment on time. It will explain that in order to avoid potential penalties in future, employers should bring payments up-to-date and ensure future payments are made on time and in full. It will also explain what to do if no payments were actually due.
- A notice reminding about late payments
Where an employer does not pay in full and on time again, this will be issued as a follow-up to the above notification. It will reiterate the action required to avoid penalties for failure to pay.
If you are still struggling to comply with RTI, please get in touch with us. We are a local, Welling based firm of ACCA qualified small business accountants and can give you peace of mind that all your business affairs will be handled accurately and in a timely fashion so you can continue to focus on growing your business.