Paye not applied to bonus payments 13/14 !!!

Paye not applied to bonus payments 13/14 !!!

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One of my clients for what ever reason decided that the bonus he paid to an employee was not taxable, having done the maths and grossed the payment up he owes about £3k.....my question is how do i do this now and are there penalties and interest due. .

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Euan's picture
By Euan MacLennan
03rd Dec 2014 16:05

By filing an Earlier Year Update

If your payroll software does not have the facility to file EYUs (Moneysoft does not, for example), you can report the additional 2013/14 PAYE liability by using HMRC's Basic PAYE Tools.

Penalties for PAYE seem to be out of fashion at the moment.  Interest will probably be charged at 3% p.a.

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Replying to SteveHa:
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By cparker87
03rd Dec 2014 20:28

.

Euan MacLennan wrote:

If your payroll software does not have the facility to file EYUs (Moneysoft does not, for example), you can report the additional 2013/14 PAYE liability by using HMRC's Basic PAYE Tools.

Penalties for PAYE seem to be out of fashion at the moment.  Interest will probably be charged at 3% p.a.

 

Or switch to 12pay. Does it all :)

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Replying to The Dullard:
Euan's picture
By Euan MacLennan
04th Dec 2014 10:13

Why bother?

cparker87 wrote:

Euan MacLennan wrote:

If your payroll software does not have the facility to file EYUs (Moneysoft does not, for example), you can report the additional 2013/14 PAYE liability by using HMRC's Basic PAYE Tools.

Penalties for PAYE seem to be out of fashion at the moment.  Interest will probably be charged at 3% p.a.

 

Or switch to 12pay. Does it all :)

Why bother to switch just to cope with sorting out a [***]-up by a client or the legendary "previous accountant"?  Unless you have run the payroll yourself, in which case you should not have made the mistake in the first place, you are going to have to input all the data into whatever software you use, so it might as well be HMRC's Basic PAYE Tools.

This is not to say that I do not believe that 12Pay is an admirable product (I have advocated it on AWeb many times), but the lack of an EYU facility is no reason to change from Moneysoft if you are happy with it for all other purposes (and almost everyone is).

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By ann domonkos
03rd Dec 2014 16:21

Thanks Euan i couldn't find the info and  i wanted to give my client some idea of penalties interest etc ,he wont be happy because it has continued this year as well and it is set to cost him some 6k to date....i just don,t understand were they get there ideas from in his case it will be the wine bar he is far to posh to go in a pub !

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By airgeadagam
03rd Dec 2014 16:28

Wrong

Forum edit.

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