Penalties

12.3 Penalties for not filing in-year forms online

There is an existing penalty (Section 98, Taxes Management Act 1970) that applies when starter and leaver information is not sent to us.

We are exploring our options to compare in-year notifications with the end of year P14s to ensure employers meet their obligations.

During consultations with employers, we found instances of employers withholding a P45(1) to a departing employee because there are outstanding monies owing. And there can be similar problems between the employer and an agent or bureau when there are outstanding debts. HMRC will not get involved in any disputes, but will remind everyone of the penalty for failure to send us starter or leaver information (Section 98, Taxes Management Act 1970).