The 2015-16 late filing penalty notices for Employment Related Securities (ERS) have been issued by HMRC, including information on tax-advantaged employee share schemes
A late filing penalty notice have been issued by HMRC to companies that registered a share scheme or arrangement on the ERS service, but failed to submit a tax return for 2015-16 by the due date of 6 July 2016.
If a scheme has been registered due to an error, the scheme must be closed on the ERS service by submitting a nil return.
Closing a scheme can only be done by the company that registered, not an agent.
If a scheme is kept open year on year then a nil return must be submitted each year until the scheme is closed.
To appeal against a penalty a letter or email should be sent to the ERS stating the reasons as to why the return was late.
If a return remains outstanding on 6 October 2016, HMRC will issue a further penalty of £300.
Employment-related Securities Bulletin No 23 (August 2016) is here.
