Do you rely on your employer to file your PAYE tax refund? Apparently, in recent news story that does not mean it is definitely going to happen.
More than 70,000 employers are being urged to send their employees Pay as you Earn information in real time or face hefty penalties. Some companies are using the excuse that they have never used the new system, however HMRC aren’t taking no for an answer. If employers fail to supply the information by the end of the year they face penalties of up to £100, which soon builds up when you have multiple employees.
HMRC’s Director General for Personal Tax, Ruth Owen, 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.”
Another reason companies are giving is that their staff do not need a PAYE scheme any longer however, if this is the case the employer is still obliged to inform HMRC of this. With the amount of helpful information on the HMRC website it is surprising that businesses are still risking fines by not following procedure.
The amount of tax evasion and fraudulent schemes that businesses are becoming tied up in are rife across every industry yet it is proving helpful in that it is forcing the government to extensively research companies processes and punishing accordingly when they don’t adhere, which protects you, the employee.
Ensure you have paid the correct tax and are not owed a rebate either by talking to us and letting us do the sums. If we find you shouldn’t have paid so much tax on the accommodation whilst working away on a site, or travelling to and from a site and your home then we will file the claim with HMRC resulting in an unexpected nest egg for you to stash. You can also use our PAYE tax calculator for UK to find out how much PAYE tax refund you could be owed.
Do give your employer a nudge with regards to this issue as it could save them money which in turn gives you and your team better job security (plus earn some brownie points with the boss.)