The Taxman has hit me with a huge penalty for paying my company’s PAYE late in 2010/11. But I’ve always paid my PAYE on time. What’s going on?
PAYE deductions paid late to the Tax Office (HMRC) from 19 May 2010 attract automatic penalties. ‘Late’ means the cheque reached HMRC after the due date of the 19th of the month or the electronic payment cleared the HMRC bank account after 22nd of the month or the last banking day before that. The HMRC bank accounts do not accept ‘faster payments’, which clear through most bankhttps://accotax.co.uk/what-is-payment-on-accounts-hmrc/ accounts in 4 hours. HMRC needs 3 working days to accept electronic payment. You should have received a warning letter about your first late payment in 2010/11. If you believe you had a reasonable excuse for paying late you should appeal against the late payment penalty. We can help you with that.