This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

Appealing a notice of penalty assessment

landlord1234
Posts:85
Joined:Sat Nov 26, 2011 3:39 pm
Appealing a notice of penalty assessment

Postby landlord1234 » Fri Sep 06, 2019 12:24 pm

Hi,
I run a small business and have filed PAYE returns for the last six years.

I was paying the same initial 2 employees monthly and making monthly returns.

Everything was fine till the 2 staff members left. I reported that they had left and they were issued with P45 etc.

I didn't realise that I had to report that no payments had ben made in the following months, until I received a penalty.

I then realised that they had estimated IR & NI payments due based on previous months, instead of there being nothing due.

I spoke to someone at HMRC who was helpful and advised me to report the periods of no payments online. I did this
and the tax/ni due has now been removed.

However, I ave 2x £100 penalties due.

I now realise I should have reported the non payment periods and the penalties are due, but I'm surprised that the first notice is after 2 penalties are due.

Is it worth making an appeal , or is ignorance not considered a reasonable reason ?

Will the fact that I have reported every payment made over the last 6 years on time and simply failed to realise that I didn't't need to report non payments going to help ?

Or do I put it down experience as an expensive lesson learned and move on ?

Thanks

robbob
Posts:3228
Joined:Wed Aug 06, 2008 4:01 pm

Re: Appealing a notice of penalty assessment

Postby robbob » Sat Sep 07, 2019 10:16 am

No worries you have a reasonable excuse so do appeal

appeal on the grounds that you have a reasonable excuse being that you no longer had any employees - that's on their list of reasonable excuse examples -so you might want to copy the linked page or mention the link .

https://www.gov.uk/guidance/what-happens-if-you-dont-report-payroll-information-on-time
You can appeal if you think:
Reasons you can give for grounds of appeal are:
no longer have any employees


Return to “PAYE and Payroll Taxes, National Insurance, NICs”