PAYE51025 - employer returns: employer EOY penalties: exceptions to EOY penalties

This subject is presented as follows

Background

Not all types of employer or contractor are liable to an End of Year (EOY) penalty under PAYE provisions for non or late submission of an annual return, when a return is required.

Excluded scheme types

The following scheme types are excluded from EOY penalty procedures

• DOME
• DCNI
• DPGEN
• DPNI
• ELECT
• EXAM
• EPA
• TAS
• PSS (where the return is received before 30 June)

Other exclusions

In addition to employer records that have certain scheme types making them excluded from an EOY penalty, there other types of employer and certain other circumstances which also exclude an EOY penalty being issued.

These include

• Employers with diplomatic immunity
• Payment card reward schemes

It is not possible to automatically inhibit the issue of a penalty for these particular types of employer and as such if you identify any of these employers you will need to inhibit the penalty yourself in ECS. The subject ‘Manually Inhibiting Penalties’ ( PAYE51030) in this section gives details.

Penalties are also not charged if the following apply

• Employer records holding any of the following indicators

• Employer records that have been transferred, merged out or succeeded to another employer reference