Despite the 6 July deadline, many employers have yet to get to grips with online filing for the share schemes and awards they use to reward employees. However, those that have tried to use the online registration system are already having problems.
During May, HMRC began sending out standard letters to all employers that it could identify that have used CSOP, SAYE or SIP share schemes. The letter points out common registration and filing errors that have already arisen and how to resolve them.
One of the most common problems is incorrect registration of a scheme – eg registering a SIP as a CSOP or vice versa. HMRC's letter advises that the only way to correct this is to complete a nil return for the incorrectly registered scheme for 2014/15 and show it as ceased. Then the scheme needs to be registered again correctly so that a return can subsequently be submitted.
Such problems will inevitably lead to delays. However, if you have received a copy of HMRC's standard letter, please note that it incorrectly states that penalties will be charged where returns are filed after 6 April 2015 – the filing deadline remains 6 July 2015.
If you need help with online share filing, BDO has produced a step-by step guide on how to get registration and filing right first time. The guide covers the mechanics of how to register share plans, the decisions to make before you register, completion of the annual return and the most common FAQs. The guide is provided as part of our inclusive service where we are appointed as authorised agent to prepare and submit the annual returns, or can be purchased separately.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.