RTI penalties

Copyright © 2025 LexisNexis
Produced by Tolley in association with Vince Ashall
Employment Tax
Guidance

RTI penalties

Copyright © 2025 LexisNexis
Produced by Tolley in association with Vince Ashall
Employment Tax
Guidance
imgtext

HMRC had the power to impose penalties under the old reporting regime (P14, P35, etc) and this has continued under Real Time Information (RTI). Possibly owing to a recognition that RTI took a while to get up to speed in all areas (see Employer Bulletin June 2015, item 2), HMRC, at least at first, relaxed its stance somewhat, certainly with regards to the automatic imposition of RTI-related penalties.

Nevertheless, despite HMRC stating that it does not want to charge penalties and that it will issue electronic alerts to help employers meet their filing and payment obligations, penalties will be issued on a risk-assessed basis. This means that rather than issuing RTI penalties on an automated basis, the potential for penalties will be assessed individually, based on the employer’s overall compliance record. The risk-based approach was confirmed as still current in the HMRC Employer Bulletin: June 2022.

Penalties may be issued for late filing, late payment and / or filing incorrect returns.

Late filing

The guiding principle for employers under RTI is that the Full Payment Submission

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, generative tax AI, and tax research, register for a free trial of Tolley+™
TAKE A FREE TRIAL NOW
Vince Ashall
Vince Ashall linkedinicon

Payroll Consultant & Trainer at VA Payroll Services

Involved in payroll for more years than I care to remember! Initially in the NHS, where i oversaw the development of the NHS's bespoke payroll system (SPS Standard Payroll System), and latterly in the private sector.   Served for 13 years as a MNT for a private sector defined benefit pension scheme. Have had articles published in payroll publications and and provide updates for various publishers.   Fellow of the CIPP and gained a MSc in Payroll & Business Management in 2002. Now a self employed payroll and pensions consultant

Read moreRead more
Powered by Tolley+™
  • 19 Nov 2024 13:01

Home/ Tolley Tax Guidance/ Employment Tax / Enquiries, penalties and appeals

Popular Articles

Owner-Managed Businesses

Class 4 national insurance contributions

Class 4 national insurance contributionsWhat is Class 4 NIC?Class 2 and Class 4 national insurance contributions (NIC) are paid by self-employed individuals and partners in a partnership on their profits arising within the UK. This guidance note considers Class 4 contributions. For Class 2

14 Jul 2020 11:13 | Produced by Tolley Read more Read more
Corporation Tax

Taxation of loan relationships

Taxation of loan relationshipsThe vast majority of companies will have loan relationships and so will need to consider how they are taxed under the loan relationship rules. There are also specific provisions dealing with relevant non-lending relationships and other deemed loan relationships.

14 Jul 2020 13:48 | Produced by Tolley Read more Read more
Personal Tax

Simple assessments

Simple assessmentsFrom 2016/17 onwards, HMRC has the power to make a ‘simple assessment’ of the taxpayer’s income tax and / or capital gains tax liability outside of the self assessment system. As HMRC already receives significant amounts of information on the income received and tax paid by

14 Jul 2020 13:40 | Produced by Tolley Read more Read more