PAYE is a complex area of taxation. Whether you are a one-person limited company or a company with hundreds of employees, you must complete weekly, monthly or annual processing of payroll whilst navigating the complex area of U.K. employment law.
This can be difficult to get right and failure to accurately process and submit your payroll returns to HMRC can lead to costly repercussions, not to mention grievances with unhappy staff.
At M J Kane we take the responsibility and stress away from you and your business. Our dedicated in-house payroll department are experts in all things PAYE.
We can help you with:
- Compliance with workplace Pension legislation
- Benefits in kind
- HMRC reporting
- New employee starts and P45’s
- End of year tax and National Insurance certificate
- Statutory maternity pay
- Statutory paternity pay
- Statutory sick pay
Do I need PAYE?
As an employer, you normally have to operate PAYE as part of your payroll. PAYE is HM Revenue and Customs’ (HMRC) system to collect Income Tax and National Insurance from employment.
You do not need to register for PAYE if none of your employees are paid £118 or more a week, get expenses and benefits, have another job or get a pension. However, you must keep payroll records.
Do I need to pay HMRC?
Every month you must pay HMRC the tax and National Insurance (and any other deductions) you owe as reported on your Full Payment Submission (FPS) in the previous tax month. Minus the reductions on any Employer Payment Summary (EPS) you sent before the 19th in the current tax month.
You must pay what you owe by the 22nd of the month (or the 19th if paying by post) – you may have to pay a penalty if you do not.