IEIM905011 - Example 1 - Late Submission due to IT difficulties in the Initial Period
A Reporting Platform Operator’s (RPOs) IT provider informed it in late 2024 that it would not have the capability to report under the new rules until May 2025. The RPO speaks to other IT suppliers and third parties and looks at developing its own reporting tool. It concludes that none of these alternatives would allow it to meet the reporting deadline due to the complexities involved and waiting for its supplier’s tool in May 2025 is likely to be the quickest way to report its data to HMRC.
The RPO registers and notifies in January 2025, and contacts HMRC to explain that there will be a significant delay to their reporting as the IT tool will not be available until May 2025. The RPO reports as soon as the tool is available in May 2025.
The RPO has a reasonable excuse for not reporting on time, and has taken reasonable steps to comply as soon as they can, and therefore a penalty is unlikely.