Latest Payroll

We are seeing a lot of tax calculations (forms P800) and ‘Simple Assessments’ (forms PA302) being issued by HMRC recently.   Many of the tax calculations we have seen are incorrect – either because they only include an estimate of non-PAYE income (i.e. bank interest, life assurance gains, property profits), or they omit non-PAYE income…

P11D & P11D(b)  For employers who provide expenses and benefits to their employees, there is now under a month to go to ensure your P11D and P11D(b) submissions have been made with HMRC (6th July 2023).   Payments of Class 1 A National Insurance must be made by 19th July 2023 (22nd July 2023 if…

From 6th April 2023, HMRC will no longer accept paper P11D and P11D(b) forms. All submissions, for the 2022-23 tax year onwards, will have to be made through HMRC’s PAYE Online Services or commercial payroll software.    This change also affects how amended P11D and P11D(b) submissions must be made. Historically, amendments could only be…

As employers approach the new tax year, those who do not have the administrative capabilities or expertise to run a payroll function may wish to consider outsourcing. Payroll outsourcing involves the hiring of an external individual, or company, usually in the form of an accountant/bookkeeper, or via a specialist bureau to complete the payroll function…

In May 2015, exclusivity clauses in employment contracts for zero hours workers, was made illegal. Unfortunately, it has been found that many low paid employees or workers who are not employed on zero hours contracts (perhaps part-time staff) could still be subjected to exclusivity provisions. From 5th December 2022, this will also become unlawful.  …

With effect from 1st December 2022, although previous rates can still be used for up to one month after today’s date.   Engine size Petrol — rate per mile LPG — rate per mile 1400cc or less 14 pence 10 pence 1401cc to 2000cc 17 pence 12 pence Over 2000cc 26 pence 18 pence  …

Due to the high level of inflation in September 2022, the annual increase in both the National Minimum Wage (NMW) & the National Living Wage (NLW) will be somewhat higher than usual. The Chancellor of the Exchequer accepted the recommendation of the Low Pay Commission to increase the current rates by 9.7%.   The NLW…

If you were interested in offering your employees the Cycle to Work Scheme, there are three main methods you could use:   Salary Sacrifice Loan Pooled cycles   Method 1: Salary Sacrifice Under this method, your employee would be agreeing to sacrificing part of their salary before tax and you would provide the hire of…

The Employment (Allocation of Tips) Bill 2022-23, widely expected to become law for the start of the 2023-24 tax year, creates a new legal obligation on employers to ensure all tips, gratuities & service charges they receive, or have control of, must be paid to their employees without deductions. Employers must also ensure that the…

The Construction Industry Scheme (CIS) was first introduced in 1971 (named the Construction Industry Tax Deduction Scheme) in order to combat tax evasion in the construction industry. This is done by contractors deducting money from a subcontractor’s payments and passing it onto HM Revenue and Customs on their behalf. The deductions are then considered as…