Employer Annual Returns
7.3 Examples of sending your Return to us in parts
Example one:
An employer has two branches (in Manchester and Leeds) and each files the P14s for their own employees online, using the Internet. The head office (in Birmingham) files the P35 online showing that two P14 parts are being sent. When we get each branch's P14s, we check that they meet our Quality Standard, and tell whoever sent them to us whether we have accepted or rejected them. When we have all the P14s and the P35 we will check that the whole Return meets our Quality Standard and contact you if we have any queries. Once the whole Return is accepted, no part can be replaced.
Example two:
A small employer uses a payroll bureau to handle the payroll, apart from the directors, and the bureau files the P14s online. The employer also uses an agent who deals with the directors, and the agent sends us their P14s online. And the employer files the P35 online indicating that two P14 parts are being sent. If all the parts we get meet our Quality Standard, we will accept the whole Return. A small employer will also qualify for a tax-free payment.
Example three:
A small employer uses an agent to handle all of the payroll. The agent sends us the P14s online, and sends the details of all the totals on the P14s to the employer because there are some payment details which the employer has to fill in. The employer finalises the P35 and sends it to us on paper showing that one P14 part is being sent. Because this is not a complete online Return, the employer does not qualify for the tax-free payment. If he or she was a large or medium-sized employer, and had to file online but did not, he or she would face a penalty.
Example four:
The employer sends P14s online but does not send the P35. As the employer has failed to make a Return then we would levy a late filing penalty:
- A small employer will not qualify for the early online filing payment because they have not sent the whole Return online.
- A large or medium-sized employer will not incur a penalty for failure to file online.
If we subsequently get the P35 online, but late, the employer would face a late filing penalty.
- A small employer would qualify for the early online filing tax-free payment.
- A large or medium-sized employer will not incur a penalty for failure to file online.
Example five
The employer sends a P35 and some P14s online and some P14s on paper:
- A large or medium-sized employer has failed to make the complete Return online and will incur a penalty for not filing online
- A small employer will not qualify for the online filing tax-free payment because we did not receive the complete Return online.
Example six
The large or medium-sized employer sends the complete Return online which is accepted, but later we identify errors which, exceptionally, require the employer to correct and re-submit the faulty Return. The employer will not incur a penalty for not filing online or filing a late Return because we asked the employer to re-submit their Return.
Example seven
The employer has received an acceptance message when they sent in the P14s but they do not send a P35 online or on paper:
- If a small employer has deducted the tax-free payment from a current year payment of tax or National Insurance due to us, then they will have underpaid at April 2008 because a complete Return has not been sent online. They would also incur a late filing penalty.
- If a large or medium-sized employer did not send a P35 they have failed to make a Return and would incur a late filing penalty. If the P35 is sent on paper then they will incur the online filing penalty.
