Articles and information in relation to UK Payroll for business, employers and employees.
HMRC have issued the RD1 Specification for employers substitute forms P60 for the new 2024/2025 tax year. The RD1 guide gives information on how to design substitute forms P60, ‘End of Year Certificate’ which employers may use at the end of the tax year. It also includes information on how to adapt the substitute form … Continue reading 2024/2025 P60 design
Paper P11D or P11D(b) (original or amendment) after 6th April 2023 If an employer or agent submits a paper P11D or P11D(b) (original or amendment) after 6th April 2023: the form will be rejected on the basis that it has not be submitted to HMRC in the prescribed manner the employer or agent will be … Continue reading Paper P11Ds – now being rejected
The Department for Business and Trade (DBT), formerly known as BEIS have issued updated information on one of their areas of responsibility in relation to employment law - National Minimum Wage. A checklist for employers The following checklist provides information on the common causes of minimum wage underpayments and links to further guidance: Making wage … Continue reading Common causes of minimum pay breach
Photo by Pavel Danilyuk on Pexels.com Often when meeting with payroll professionals around the world, they wonder why the United Kingdom tax year commences on 6th April annually. Why is that when so many countries around the world celebrate both the new year and the tax year on 1st January. And even then, why the … Continue reading Happy New (Tax) Year – 6th April 2023
For pay periods starting on or after Saturday 1st April 2023, the National Living Wage and Nation Minimum Wage are rising significantly. For many receiving minimum pay amounts this sees a 9.7% pay increase being applied at some point over the month of April. For those aged 21 and 22 the increase is more as … Continue reading National Minimum Wage Rise 1st April 2023
The HM Revenue and Customs Software Developer Support Team have confirmed changes to the acceptable P11D submission due from 6th April 2023 and onwards. Although paper forms may still be issued to relevant employees as a copy, the submission of paper forms to HMRC is no longer permitted. In a message to software developers entitled: … Continue reading No more Paper P11Ds to HMRC
The HMRC have update their employer guidance CWG2, CWG5 and also the guide to gross-up where employer pay the tax and NICs on expenses and benefits. CWG2 further guide to PAYE and National Insurance HMRC have issued the updated CWG2 for the 2023/2024 tax year (for the tax year which commences from 6th April 2023). … Continue reading HMRC issue guidance for 2023/2024 tax year
HM Revenue and Customs has informed employers as part of the February 2023 Employer Bulletin of changes to reporting benefits. Employers must register now Reporting expenses and benefits for the tax year ending 5th April 2023 From 6th April 2023 HMRC will no longer accept new informal payrolling benefits arrangements. For those employers who have … Continue reading Major changes to reporting benefits
This links to edition 100 of the online Employer Bulletin. In this month’s edition of the Employer Bulletin there are important updates and information on: PAYE Reporting advances of salary when paid on account of earnings Issuing of P9 coding notices to employers for 2023 to 2024 PAYE liabilities data available sooner Basic PAYE Tools … Continue reading February 2023 Employer Bulletin
Bacs hash not required from 2023-24 On Monday 13th February 2023, the HM Revenue and Customs Software Developers Support confirmed to the software developer community the end of the BACS hash! A compulsory feature of 10 tax years for many has now been dropped. Once claimed that RTI BACS is such a powerful validation of … Continue reading HMRC drops the ‘best practice’ BACS Hash
I am pleased to be able to let you know that I have today [26th January 2023] announced the outcome of the review of the Automatic Enrolment Earnings Trigger and Qualifying Earnings Band for 2023/24.The thresholds will be maintained at their 2022/23 values: The automatic enrolment earnings trigger will remain at £10,000; The lower earnings … Continue reading Automatic Enrolment Earnings Trigger and Qualifying Earnings Band for 2023/24.
The Scottish Minister for Public Finance, Planning and Community Wealth has written to the Economy and Fair Work Committee to outline his plans to bring forward proposals to uprate the earnings arrestment tables from 6th April 2023. These tables were last uprated in April 2022 and are normally uprated every three years. However, given the … Continue reading Scottish Earnings Arrestment change April 2023
Today I can inform the House that I have asked the Office for Budget Responsibility (OBR) to prepare a forecast for 15 March 2023 to accompany a Spring Budget.Jeremy Hunt Money 19th December the government have announced that the Spring Budget will take place on 15th Match 2022. The Treasury have opened their Spring Budget … Continue reading Spring Budget 2023 – 15th March 2023
The Scottish Budget 2023-2024 was presented to the Scottish Parliament on Thursday 15 December 2022 some 30 minutes later than originally planned whilst an initial investigation took place as the budget speech had been being leaked to the BBC. The deputy first minister confirmed that the bands would remain unchanged excepting the top of the … Continue reading Scottish Budget confirms tax proposals for April 2023
Welsh Rates of Income Tax (WRIT) The process for Wales involves the UK Government reducing each of the three income tax rates for Welsh taxpayers by 10p. The Welsh Government then decides whether to set the Welsh rates at 10p, thereby retaining parity between Welsh and English taxpayers or to set different rates. Proposed WRIT … Continue reading Welsh Income Tax April 2023
HM Revenue and Customs have confirmed the decision to increase the Expenses and Benefits rates for tax year 2023/2024, effective from 6th April 2023. Van benefit and fuel benefit for cars and vans Van benefit charge and fuel benefit charges for cars and vans are to be uprated by the Consumer Price Index (with rounding) … Continue reading Tax year 2023/2024: Car and van fuel benefit charge increased
Employers may need to review their reward strategies! With the proposal of the Low Pay Commission (LPC) for a significant rise in the National Living Wage (NLW) and National Minimum Wage (NMW), low paid employees are set to see rises exceeding 9%! And the future prospect of seeing the NLW starting point drop to 21 … Continue reading Significant minimum pay rise may impact employer reward strategies
As part of the April 2023 changes to payroll, the HMRC Software Developers Support Team (SDST) has additionally confirmed the remaining student and postgraduate loans repayment thresholds. Plant Type 1 (with change) & Plan Type 2 (frozen - no change) had previously been confirmed. Additionally the threshold the threshold for Plan Type 4 for Scotland … Continue reading Student Loan Thresholds Confirmed for April 2023
Following the government Autumn Statement on 17th November 2023 and the indication that benefits would rise by 10.1%, the Statutory Sick Pay (SSP) weekly rate is to increased by 10.127% from £99.35 to the higher weekly amount of £109.40. The new rate will s applicable to relevant qualifying sickness days from 6th April 2023. The … Continue reading Statutory Sick Pay increases from April 2023 to £109.40
Following the governments Autumn Statement on 17th November 2022 and indication that benefits would rise by 10.1%, it has been confirmed that the standard rate for: Statutory Maternity Pay (SMP) Shared Parental Pay (ShPP) Statutory Paternity Pay (SPP) Statutory Adoption Pay (SAP) And Statutory Parental Bereavement Pay (SPBP) will increase from the current £156.66 to … Continue reading Statutory Parental Payment increased by 10.1% from April 2023 to £172.48
Dear PAYadvice.UK, Following the Autumn Statement of 17 November 2022 we can confirm the following information for payroll 2023-24. Where details are not currently known these are marked as TBA and we will provide further information as soon as we receive it. 2023-2024 Personal Allowance: £12,570PAYE Thresholds: Weekly: £242Monthly: £1,048Standard / Emergency tax code: 1257LTax Code uplifts: … Continue reading Payroll 2023-24: Allowances, Rates and Thresholds from 6 April 2023
An employer who provides childcare vouchers to employees are required to undertake an annual Basic Earnings Assessment (BEA) prior to the start of a new tax year to define the tax and NIC free amount of ChildCare Vouchers (CCV) allowed. The rates and limits available are set by the Westminster parliament and apply across the … Continue reading Child Care Vouchers – 2023/2024 Basic Earnings Assessment Calculator
Dear PAYadvice.UK, The Chancellor of the Exchequer, the Rt Hon Jeremy Hunt MP, made his Autumn Statement speech. The Chancellor set out the government’s plan to put public spending on a sustainable footing and get debt falling, while protecting vital public services and prioritising the needs of the most vulnerable. Full details are set out … Continue reading Autumn Statement 2022
The government states it is committed to ending low pay. From 1st April 2023, the National Living Wage (NLW) will increase by 9.7% to £10.42 an hour for workers aged 23 and over - the largest ever cash increase for the NLW. This represents an increase of over £1,600 to the annual earnings of a … Continue reading National Minimum and Living Wage rise for April 2023
The Chancellor has, Thursday 17th November 2022, announced the Autumn Statement, its aim to restore stability to the economy, protect high-quality public services and build long-term prosperity for the United Kingdom. Chancellor unveils a plan for stability, growth, and public services. Tackling inflation is top of the priority list to stop it eating into paycheques … Continue reading Chancellor delivers plan for stability, growth and public services
The Prime Minister Rishi Sunak and the Chancellor Jeremy Hunt have agreed that the Autumn Statement will now be delivered on 17th November 2022 along with the Office for Budget Responsibility (OBR) forecast. It is to include the United Kingdom’s medium term fiscal plan to put public spending on a sustainable footing, get debt falling … Continue reading Autumn Statement 17th November 2022
The HMRC Software Developer Support Team have notified updates to the Real Time Information technical specifications and an update to the RTI data items for the 2023/2024 tax year HMRC are pleased advise that the 2023-24 RTI technical pack for internet (XML) submissions is now available: Real Time Information support for software developers Their current … Continue reading PAYE RTI 2023-24: Technical Pack updated
Dear PAYadvice, Please share the following message sent on behalf of the HMRC External Affairs Team. Earlier today the Chancellor of the Exchequer, the Rt Hon Jeremy Hunt MP, brought forward a number of measures from 31 October’s Medium-Term Fiscal Plan. The measures are designed to ensure the UK’s economic stability and provide confidence in the government’s … Continue reading Chancellor brings forward further Medium-Term Fiscal Plan measures
Speech to the House of Commons as delivered by Chancellor Jeremy Hunt. Mr Speaker, The central responsibility of any government is to do what is necessary for economic stability. Behind the decisions we take and the issues on which we vote are jobs families depend on, mortgages that have to be paid, savings for pensioners, … Continue reading Chancellor Statement – 17th October 2022
The Chancellor of The Exchequer Jeremy Hunt has, Monday 17th October 2022, brought forward a number of measures from 31st October 2022 Medium-Term Fiscal Plan. Changes designed to ensure the UK’s economic stability and provide confidence in the government’s commitment to fiscal discipline Basic rate of income tax to remain at 20% until economic conditions … Continue reading Chancellor brings forward further Medium-Term Fiscal Plan measures
The Chancellor has commissioned the OBR’s forecast for 31st October 2022, and will publish the Medium-Term Fiscal Plan on the same date. The Chancellor's letter notifies the Treasury Select Committee that the OBR’s forecast has been commissioned for 31st October 2022, and will be accompanied by the Chancellor’s Medium-Term Fiscal Plan. The Chancellor confirms that … Continue reading Medium-Term Fiscal Plan (Budget)
The Chancellor confirmed an update to plans for the Additional Rate tax on the morning of 3rd October 2022. “From supporting British business to lowering the tax burden for the lowest paid, our Growth Plan sets out a new approach to build a more prosperous economy. However, it is clear that the abolition of the … Continue reading Additional Rate tax update
An update on next steps following the Growth Plan which the Chancellor set out on 23 September. Friday 23rd September 2023, the Chancellor of the Exchequer, the Rt Hon Kwasi Kwarteng MP, set out how the government would fulfil its commitment to cut taxes for people and businesses and announced wider supply side policies to … Continue reading Growth Plan implementation update
The Growth Plan 2022 speech as delivered by Chancellor Kwasi Kwarteng. Mr Speaker, Let me start directly with the issue most worrying the British people – the cost of energy. People will have seen the horrors of Putin’s illegal invasion of Ukraine. They will have heard reports that their already-expensive energy bills could reach as … Continue reading The Growth Plan 2022 speech
As part of the Chancellors Growth Plan 2022 speech: Mr Speaker, we can also simplify the IR35 rules – and we will. In practice, reforms to off-payroll working have added unnecessary complexity and cost for many businesses. So, as promised by My RHF the Prime Minister, we will repeal the 2017 and 2021 reforms. Of … Continue reading IR35 Off payroll working rules repealed from 6th April 2023 – cancelled
Growth Plan – a package of measures to deliver a pro-growth, simplified tax system that supports business investment across the United Kingdom, and allows people to keep more of their own money. One is changes to the Company Share Option plan (CSOP) scheme – increasing the employee share option limit from £30,000 to £60,000 and … Continue reading Company Share Option Plan (CSOP) limits doubled
New employer National insurance reliefs to be introduced Similar to Veterans and Freeports, a new investment zone employer NIC relief is proposed requiring change in payroll solutions. Investment Zones Investment Zones are to drive growth and unlock housing across the UK by lowering taxes and liberalising planning frameworks to encourage rapid development and business investment. … Continue reading The Growth Plan 2022: Investment Zones
Chancellor announces new Growth Plan with biggest package of tax cuts in generations The government has announced that the planned 1% point cut to the Basic Rate is to be brought forward by 12 months to next April. *This proposal was withdrawn on Monday 17th October 2022. To allow people to keep more of their … Continue reading Tax cuts planned for April 2023
The 1.25 percentage point rise in National Insurance will be reversed from 6th November 2022, the Chancellor Kwasi Kwarteng has announced 22nd September 2022 April’s National Insurance increase to be reversed from November 2022 - delivering one key Prime minister pledge to cut tax burden and promote economic growth Health and Social Care Levy will … Continue reading 3rd National Insurance change confirmed for 6th November 2022
Subject to the agreement of the House of Commons, On Friday 23rd September, Chancellor Kwai Kwarteng will unveil the Growth Plan to Parliament. PAYadvice.UK 21/9/2022
With the resignation of Boris Johnson and the ongoing election of a new Prime Minister with announcements to be made Monday 5th September 2022, will payroll see it’s third change to National Insurance in one year? With candidates vying for election, promises of changes are frequent and sometimes a little reactionary. With the cost of … Continue reading Preparing for the 3rd National Insurance payroll change!
Following the successful Legislation update for 2021 and then 2022 for payroll by PAYadvice.UK with 20 thousand hits and downloads since its launch at the beginning of 2021 - PAYadvice.UK are constructing its PAYadvice Series Legislation Update 2023 for payroll. We believe that PAYadvice was the first organisation in the UK to bring together the … Continue reading Legislation updates 2023 for payroll
The Department for Education has confirmed the Student Loan thresholds for Plan Type 1 and 2 to be operated from 6th April 2023. From 6 April 2023, the repayment threshold for pre-2012 (Plan 1) loans will rise to £22,015. The income threshold for post-2012 (Plan 2) from April 2023 will remain frozen at £27,295 as … Continue reading Student Loan Plan 1 & 2 thresholds confirmed for April 2023
From Wednesday 6th April 2022, the Health and Social Care Levy will begin to raise billions to tackle the Covid backlogs and reform adult social care From Wednesday 6th April 2022, the Health and Social Care Levy comes into effect and begins to raise billions to help tackle the Covid backlogs and reform the adult … Continue reading Health and Social Care Levy to raise billions for NHS and social care