PAYE late payment penalties have been in place for a year, but have not had an impact yet because of the way they are calculated. Rebecca Benneyworth offers a precautionary guide for those who may be affected.

Penalties for late paid PAYE and related liabilities commenced in April 2010 but due to the way that penalties are calculated none will have been levied until now. Even then, it is not clear how the penalty regime will be applied in the period until Real Time Information is implemented.

www.accountingweb.co.uk/topic/tax/late-paid-paye-ticking-bomb/500793