The returns cannot be made until the end of the tax year which is on 5th April. They have to be completed and submitted by 19th May so time is limited. At the same time, routine work still has to be undertaken. This places considerable strain on payroll services.
There are penalties for late filing and even, in some cases, for not filing online. Penalties are also applied where the Revenue judges that returns have been completed inaccurately, either deliberately or through carelessness. Often, errors may be perfectly innocent but it is unusual for the Revenue to accept this, particularly if there has been any underpayment of tax.
There are complicated procedures regarding part returns and the correction, where necessary, of part returns. When amendments are necessary, even when undertaken at the Revenue's request, there are again rules which need to be followed. Whilst most of the rules and procedures are not laid down in law, you still have to abide by them.
The above applies to forms P14 and P35. There are other rules and regulations in respect of other annual returns such as P11ds. With so much red tape, it is not surprising that many companies are outsourcing their payroll services. Speak to us at Dataplan Payroll to discover how easy it is to transfer the work to a well respected payroll company.