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Small Employers – RTI penalty concession

Posted by: edwinsmith on September 17th, 2014

HMRC have recently announced that they will now relax penalty regulations for small employers with 49 or fewer employees in respect of PAYE RTI submissions. This is further to an article   we published in August 2014 concerning the late filing penalties to be introduced from October in respect of PAYE RTI submissions.

This will mean for small employers that the penalty regulations for making a late PAYE RTI submission will be delayed and will not take effect until March 2015.

Small employers should be aware that the Month 12 submission for 2014/15 will need to be made on time to avoid a penalty. There is a general first month concession of a penalty not being charged for a late submission for the first month in each tax year but this will not apply for small employers in March 2015.

This small employer concession should not be confused with the separate concession for micro employers with or nine or fewer employees (PAYE schemes registered before 6 April 2014). As a reminder these employers are allowed to make PAYE RTI submission by the 5 of each month and not on or before any payments made within the month.

For employers with 10 to 49 employees technically you still need to make a PAYE RTI submission on or before the payments within the tax month but with the new concession there will not be a penalty now until March 2015 for late submissions.  

HMRC have issued a help sheet for PAYE late filing penalties which provides further information.

Please contact us if you require any advice

Filed under: Business, Employers, PAYE

Revised advisory fuel rates 1 September 2014

Posted by: edwinsmith on September 5th, 2014

H.M. Revenue and Customs (HMRC) have published the latest advisory fuel rates relating to mileage payments for business travel in company cars. These are as follows:

Engine size Petrol LPG
1400cc or less 14p ↔ 9p
1401cc to 2000cc 16p ↔ 11p ↔
Over 2000cc 24p ↔ 16p ↔


Engine size Diesel
1600cc or less 11p ↓
1601cc to 2000cc 13p ↓
Over 2000cc 17p ↔


The changes this quarter are highlighted in red above.

The new rates will be effective from 1 September 2014. However for the first month employers may continue to use the previously published rates if they choose to.

These rates will be reviewed again in November 2014 and any changes made will be effective from 1 December 2014. The revised fuel rates will be published on the fuel rates page on the HMRC website when they are released.

Advisory fuel rates can be used to calculate the following:

  1. Reimbursement to employees of fuel used for business travel in a company car;
  2. Repayment by employees of fuel used for personal travel in a company car;
  3. Allowable input VAT claims on business mileage claims in personal cars made by employees.

A more detailed explanation of the use of these rates is on the HMRC website.

The rates applying for earlier periods are also on the HMRC website.

If you have any questions regarding the use of advisory fuel rates or mileage payments please contact us.

Filed under: Business, Company, Employers, PAYE, VAT