Start preparing now for Payrolling benefits 2022/2023

HMRC is encouraging employers to consider payrolling the expenses and benefits they pay to staff. The advantages of payrolling expenses and benefits are that employers will no longer need to submit multiple P11Ds, and employees will be more likely to pay the correct tax due on their benefits during the tax year. Employers still need … Continue reading Start preparing now for Payrolling benefits 2022/2023

HMRC October 2021 Employer Bulletin

HMRC have issued the October 2021 Employer Bulletin, again, packed full with information. In this month’s edition of the Employer Bulletin there are updates and information on the following: PAYE Tax changes for health and social care Business Tax Account and Pay As You Earn (PAYE) for employers Reporting PAYE information in real time when … Continue reading HMRC October 2021 Employer Bulletin

Prisoners recycle bikes for hospital staff

Prison programme encourages inmates to repair and recycle over 900 bikes for hospital staff and children from disadvantaged backgrounds, helps prisoners gain new skills and turn their lives around. The project run at HMP Hewell and HMP Aylesbury, not only helps recycle bikes, but also provides specialist training to prisoners helping them gain skills and … Continue reading Prisoners recycle bikes for hospital staff

HMRC August 2021 Employer Bulletin

HMRC have issued the August 2021 Employer Bulletin, again, packed full with information. In this month’s edition of the Employer Bulletin there are updates and information on the following: UK Transition Travellers carrying cash Changes to right to work checks from 1 July 2021EU Settlement Scheme: late applications Coronavirus (COVID-19) updates and information Coronavirus Job Retention … Continue reading HMRC August 2021 Employer Bulletin

Motorists warned of websites charging a premium for free DVLA services on GOV.UK

DVLA has been contacted more than 1,200 times since January 2020 by customers who have paid more for services than they need to by using unaffiliated websites. DVLA is urging motorists to beware of websites that charge a premium for DVLA online services that are cheaper or free on GOV.UK. The agency is reminding motorists … Continue reading Motorists warned of websites charging a premium for free DVLA services on GOV.UK

HMRC June 2021 Employer Bulletin

HMRC have issued the June 2021 Employer Bulletin, again, packed full with information. In this month’s edition of the Employer Bulletin there are updates and information on the following: Coronavirus (COVID-19) updates and information Coronavirus: how HMRC will continue to support customers and the economyClaim working from home tax reliefContinued support for businesses: Statutory Sick … Continue reading HMRC June 2021 Employer Bulletin

Want to Payroll Benefits In Kind (PBIK) and not issue P11Ds anymore?

Register for payrolling benefits and expenses If your considering payrolling benefits and expenses from April 2022, they need to register. This will give time to check software capabilities and also inform employees before the start of the 2022 to 2023 tax year. Payrolling is considered to be quicker easier and more real time. It’s also … Continue reading Want to Payroll Benefits In Kind (PBIK) and not issue P11Ds anymore?

HMRC April 2021 Employer Bulletin

HMRC have issued the April 2021 Employer Bulletin, again, packed full with information. In this month’s edition of the Employer Bulletin there are updates and information on COVID-19 updates and information:Coronavirus Job Retention SchemeVAT deferral new payment schemeNew one-off payment of £500 to support working households receiving tax creditsExtension of filing dates for internationally mobile … Continue reading HMRC April 2021 Employer Bulletin

Cycle training for families and children

As COVID-19 restrictions lift, Transport Secretary invests in the Bikeability cycling proficiency training scheme so that more people can feel confident cycling. government invests record £18 million toward cycle training for children and familiesfunding will ensure children are cycling-confident and whole family groups can receive bespoke training sessions through the Bikeability programmeas restrictions are cautiously … Continue reading Cycle training for families and children

Child Care Vouchers – 2021/2022 Basic Earnings Assessment Calculator

Employer who provide childcare vouchers to employees are required to undertake an annual Basic Earnings Assessment (BEA) prior to the start of the tax year to define the tax and NIC free amount of ChildCare Vouchers (CCV). The rates and limits available are set by the Westminster parliament and apply across the United Kingdom. There … Continue reading Child Care Vouchers – 2021/2022 Basic Earnings Assessment Calculator

Plug-in car, van and truck grant to be targeted at more affordable models to allow more people to make the switch

As more people than ever opt for electric vehicles, the government announces changes to the plug-in car, van and truck grant. The grant scheme for electric cars, vans and trucks has been updated to target less expensive models and reflect a greater range of affordable vehicles available, allowing the scheme’s funding to go further and … Continue reading Plug-in car, van and truck grant to be targeted at more affordable models to allow more people to make the switch

Payroll 2021/2022: Company car appropriate percentages

The HMRC Software Developers Support Team have provided the following confirmations. Company car appropriate percentages for 2021-22 have been confirmed as below. 1. Cars registered on or after 1 January 1998 with an approved CO2 emissions figure: Please refer to the ‘Company Car Tax’ section at: Annex A rates and allowances 2. Cars registered on … Continue reading Payroll 2021/2022: Company car appropriate percentages

Draft P11D and working sheets published for software developers

HM Revenue and Customs (HMRC) have provided the final versions of P11D and P11D Working Sheets for tax year 2020 to 2021. They are only to be used by software developers to assist with development of their payroll software. PAYE draft forms: P11D and P11D Working Sheets (2020 to 2021) Documents P11D Expenses and benefits … Continue reading Draft P11D and working sheets published for software developers

HMRC issue the 2021/2022 further guidance

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 2021/2022 tax year (for the tax year which commences from 6th April 2021). … Continue reading HMRC issue the 2021/2022 further guidance

Support for small businesses, landlords and leaseholders: government charges up the electric vehicle revolution with £50 million boost

Government announces financial boost to encourage electric vehicle use and launches consultation on improving the charging experience. electric vehicle charging schemes to be opened to small business, leaseholders and those in rented accommodation to accelerate electric vehicle (EV) uptakeworth up to £50 million, the updated schemes will also boost rural areas and the charity sector, … Continue reading Support for small businesses, landlords and leaseholders: government charges up the electric vehicle revolution with £50 million boost

HMRC end informal payrolling of benefit arrangements

In the February 2021 Employer Bulletin, HMRC have announced the end of informal payrolling arrangements. Informally payrolling HMRC state that ‘The small number of employers who informally payroll benefits must now... formally register for payrolling before the start of 2021 to 2022. [HMRC] will no longer accept informal arrangements’ For those who have not registered … Continue reading HMRC end informal payrolling of benefit arrangements

February 2021 Employer Bulletin published

HMRC have published their new format web delivered Employer Bulletin. It’s absolutely packed with important information which will aid payroll professionals in obtaining vital information and guidance. There are a plethora of important topics: Coronavirus Job Retention SchemeVAT deferral new payment scheme – opt-in from the end of February 2021VAT reverse charge for construction and … Continue reading February 2021 Employer Bulletin published

Salary Sacrifice and furlough reference salary

HMRC have added further clarification to the furlough guidance in relation to salary sacrifice arrangements and the calculation of the reference salary for the Job Retention Scheme. They clarify that: You cannot include the following when calculating wages: payments made at the discretion of the employer or a client - where the employer or client … Continue reading Salary Sacrifice and furlough reference salary

The Van Benefit and Car and Van Fuel Benefit Order 2021

HM Treasury have issued the following statement to enable payroll software and employers to prepare for the new tax year commencing 6th April 2021. Statement 4th February 2021 Kemi Badenoch MP Exchequer Secretary (HM Treasury): The van benefit charge and fuel benefit charges for cars and vans will be uprated by the Consumer Price Index … Continue reading The Van Benefit and Car and Van Fuel Benefit Order 2021

Statement: Tax exemptions: Employer-reimbursed coronavirus antigen tests and easement for employer-provided cycles exemption

Employer-reimbursed coronavirus antigen tests: Exemption from Income Tax and National Insurance contributions On 9 July 2020, the Government agreed to introduce an income tax exemption and National Insurance contributions (NICs) disregard to ensure that Coronavirus antigen testing provided to employees outside the Government’s national testing scheme will not attract tax and NICs liabilities. The Government … Continue reading Statement: Tax exemptions: Employer-reimbursed coronavirus antigen tests and easement for employer-provided cycles exemption

Employer reimbursed Coronavirus swab tests – Income tax exemption and National Insurance disregard

The Government is to introduce a temporary income tax exemption and National Insurance contributions (NICs) disregard, to ensure that employees who purchase their own Coronavirus swab tests, and are reimbursed by their employer, will not attract income tax and NICs liabilities in the current tax year. A Coronavirus swab test means a test which detects … Continue reading Employer reimbursed Coronavirus swab tests – Income tax exemption and National Insurance disregard

Exemption for employer-provided coronavirus antigen tests #COVID19

A new temporary exemption is being introduced to make sure that employees who are given a relevant coronavirus antigen test by their employer, will not be liable to an Income Tax benefit in kind (BiKs) charge. The exemption applies to any relevant coronavirus antigen test provided by an employer, on or after 8 December 2020, … Continue reading Exemption for employer-provided coronavirus antigen tests #COVID19

Virtual Christmas staff events – tax exemption status confirmed

HM Revenue and Customers have indicated the following, guidance will be updated shortly. Having considered the scope of section 264 ITEPA 2003 (annual parties exemption), [HMRC] are pleased to confirm that the exemption will apply to the costs associated with virtual parties in the same way that it would for traditionally held, parties. Therefore, the … Continue reading Virtual Christmas staff events – tax exemption status confirmed

Job Support Scheme Open – what is ‘reference salary’?

*Update* On Thursday 5th November 2030, the UK government confirmed a further extension of CJRS until the end of March 2021 the JSS introduction is delayed. Under JSS Open, employers can claim up to a maximum of £1,541.75 per month. Further guidance will set out how to work out reference salary for JSS Closed. Employers … Continue reading Job Support Scheme Open – what is ‘reference salary’?

Employer provided flu jabs – taxable benefit? It depends!

Times continue to be very strange with the #COVID19 pandemic. The number of U.K. citizens who qualify for a free flu jab has increased and more employers are facilitating the provision of the flu jab to employees either in the workplace or by other means. So generally medical treatment provided and paid for by the … Continue reading Employer provided flu jabs – taxable benefit? It depends!

Payrolling – tax employees’ benefits through your payroll

Dear @PAYadvice, We’re continuing to help employers, businesses and individuals with online support during this difficult period. Almost all benefits in kind can now be payrolled to save you time – which means no more forms P11D. Find out more in the following live webinar – during which you can ask questions using the on-screen … Continue reading Payrolling – tax employees’ benefits through your payroll

Expired driving licences automatically extended by 11 months

Photocard licences that expire between 1st February and 31st December 2020 have been extended for 11 months. Under these changes, drivers whose photocard driving licence or entitlement to drive runs out between 1st February 2020 and 31st December 2020 have their entitlement automatically extended from the expiry date, for a period of 11 months. Drivers … Continue reading Expired driving licences automatically extended by 11 months

Update – Coronavirus (COVID-19) tests – tax and NI free

Following some criticism of the original HMRC confirming a tax and Class 1A liability, the government are making a legal change. HMRC have confirmed the following on Thursday 9th July 2020. Coronavirus tests provided by the government, as part of its national testing scheme, are not treated as a benefit in kind for tax purposes. … Continue reading Update – Coronavirus (COVID-19) tests – tax and NI free

Find out more about the Job Retention Bonus Scheme

8th July 2020 Dear @PAYadvice, Today the Chancellor announced the introduction of the Job Retention Bonus. This is a one-off payment of £1,000 to employers that have used the Coronavirus Job Retention Scheme (CJRS) for each furloughed employee who remains continuously employed until 31‌‌‌ ‌January 2021. The bonus will provide additional support to retain employees. … Continue reading Find out more about the Job Retention Bonus Scheme

Update to Expenses and Benefits during #COVID19 #coronavirus (updated 8th July 2020)

HM Revenue and Customs have updated guidance (6th July 2020) in relation to 'Coronavirus (COVID-19) tests' and 'Personal Protective Equipment (PPE)'. Then a further update was applied on 8th July removing the section on ‘Coronavirus (COVID19) tests. Expenses and Benefits during COVID-19 The following was removed on Wednesday 8th July 2020 Coronavirus (COVID-19) tests Coronavirus … Continue reading Update to Expenses and Benefits during #COVID19 #coronavirus (updated 8th July 2020)

Mandatory MOT testing to be reintroduced from 1st August 2020 #COVID19 #coronaviris

Mandatory MOT testing is reintroduced from 1st August 2020 as COVID-19 restrictions are slowly lifted. MOT ensure that vehicle parts, including tyres, seatbelts, brakes, lights and exhausts, are in proper working order. Due to the #coronavirus outbreak, drivers were granted a 6-month exemption from MOT testing in March to help slow the spread of the … Continue reading Mandatory MOT testing to be reintroduced from 1st August 2020 #COVID19 #coronaviris

Returning to work – Cycle to work boost #COVID19 #coronavirus

“One form of transport which has seen a significant increase is cycling – it is great to see people switching to a clean, green mode of transport with significant public health benefits” - Grant Shapps (4th June 2020) Grant Shapps Back on 9th May the government launched its campaign for a new era of walking … Continue reading Returning to work – Cycle to work boost #COVID19 #coronavirus

Drivers granted 7 month photocard licence extension #COVID19 #coronavirus

Drivers with a photocard driving licence due to expire between 1st February and 31st August 2020 will be granted a 7 month extension from the date of expiry the DVLA has announced 4 June 2020. This will help drivers to make necessary journeys without having to obtain a new photograph to renew their licence. Normally … Continue reading Drivers granted 7 month photocard licence extension #COVID19 #coronavirus

Waiving Income or Salary as a result of #COVID19

Employers, directors and employees may want to waive their rights to salaries and bonuses during the Covid-19 pandemic to support their own business or donate to good causes related to Covid-19. Where directors give up part of their salary or bonus to a third party or direct that the money be used in a particular … Continue reading Waiving Income or Salary as a result of #COVID19

Filing deadlines (P11D, PSA etc) and #COVID19 #coronavirus

P11D deadlines are looming As a result of #coronavirus lockdown and increased home-working arrangements, many payroll and reward professionals are concerned with some of the rapidly arriving submission and distribution deadlines and whether they can be met. Access to documentation, records, and interaction with benefit providers may be difficult! Ability to print forms and distribute … Continue reading Filing deadlines (P11D, PSA etc) and #COVID19 #coronavirus

Exemption for #coronavirus related reimbursed home office expenses #COVID19

The UK government have announced in the House of Parliament and the House of Lords tax concession for employers reimbursing employee purchased equipment for home working backdated to 19th March 2020. Exemption for coronavirus related reimbursed home office expenses:Written statement - HCWS237 Jesse Norman (The Financial Secretary to the Treasury) To support employees who are … Continue reading Exemption for #coronavirus related reimbursed home office expenses #COVID19

P11D 6 July 2020 deadline to still apply! #COVID19 #coronavirus

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/874060/P11D_expenses_benefits_2020.pdf PAYadvice has made representations to HMRC on the various deadlines and any planned extensions. Employers find themselves in positions of having limited access to expenses and benefit records in the lead up to the P11D reporting season. Can payroll and benefit administrators have everything ready for the 2020 deadlines? HMRC indicate on information published … Continue reading P11D 6 July 2020 deadline to still apply! #COVID19 #coronavirus

Volunteer fuel and mileage costs #COVID19 #coronavirus

Some employers are supporting furloughed employees who volunteer for charities and to support organisations such as the NHS etc. HMRC have clarified the tax position of reimbursements by the employer for fuel and mileage costs associated with volunteering. HMRC confirm 6th May 2020 the following: To support volunteer work by your employees, you may agree … Continue reading Volunteer fuel and mileage costs #COVID19 #coronavirus

Company car during #COVID19 #coronavirus lockdown – HMRC clarification

HMRC has issued clarification (6/5/2020) on the treatment of company cars for those home-working or furloughed where the vehicle is not actively being used. Company car ‘availability’ Your employee may have been furloughed or is working from home, because of coronavirus, and provided with a company car which they still have. You should treat the … Continue reading Company car during #COVID19 #coronavirus lockdown – HMRC clarification

New P46(Car) form released

HMRC have released (28th April 2020) the updated P46(Car) for use from 6th April 2020 for those employers reporting company car benefit on form P11D. For those who formally payroll benefits in kind including company cars, do not use this form but report car details on the Real Time Information, Full Payment Submission. Using the … Continue reading New P46(Car) form released