The Chartered Institute of Taxation (“CIOT”) is lobbying the government to review the penalty regime for the new payroll reporting system, Real Time Information (“RTI”), suggesting that penalties for inaccurate returns should only be issued from April 2014.
Currently, the government plans to charge penalties for incorrect returns from the summer of 2013, although penalties for late in-year returns will not apply until April 2014.
RTI commences from April 2013 and will affect the majority of UK employers. For further information on the incoming changes and RTI click here.