HM Revenue and Customs has issued a clarification regarding the new online filing rules.
New rules mean that firms with between five and 50 employees must now file their Employer Annual Returns online. This is part of the Revenue's drive to have all businesses and individuals filing the majority of their documents digitally.
But HMRC has also said that businesses submitting a paper return will be fined - even if they send it by the May 19 deadline. It is presumed that firms filing in this way could receive a penalty for late submission, which could reach £3,000.
Very small businesses, with between one and five employees, are being given one year's grace before they have to abide by the new regulations. But there is further confusion about this roll-out, as guidance for these firms is not available on the HMRC website.
HMRC offers employers the opportunity to use their own digital filing software, which is available for free from the Revenue website. It also comes in the New Employer pack sent out when a firm registers for its first employee.
As previously reported, new rules on payment deadlines will also come into force on May 19.
