Category: Employer

Many small employers do not realise that there are two ways that the tax relief on staff members’ pension contribution can be applied and it is important to understand which system you should be using. 1. ‘Relief at source’ means the employer takes the member’s pension contribution after tax has been deducted – and the pension … Continued

The Scottish rate of income tax will come into effect from 6 April 2016 and will affect anyone living in Scotland, and all employers with employees who live in Scotland. HMRC will contact those living in Scotland, to inform them they have been identified as being a Scottish taxpayer. What you need to know Scottish … Continued

The Chancellor’s Autumn Statement announced that the next two scheduled increases to automatic enrolment minimum contribution rates will be delayed by six months each, to align these changes with the start of the tax year. This will mean that the increases scheduled for October 2017 and 2018 will be pushed back to April 2018 and … Continued

Further to our recent correspondence concerning the changes to tax relief on dividend income and pension contributions you may like to reconsider the idea of introducing a ‘flexible benefits’ offering. Flexible benefits are a great way to engage your colleagues and staff by allowing them to choose the benefits that mean most to them. This … Continued

Employers with a staging date of January 2016 onwards who sign up with The People’s Pension from Monday 23 November will now pay a one off set up charge of £500 + VAT for all the support they’ll need for the life of the scheme. Employers with a 2015 staging date who sign up from … Continued

This article outlines some of the different ways employers can reward their staff and the tax implications of each approach. Seemingly as quickly as it came, another year is galloping off into the distance and people’s minds are beginning to turn to the festive holidays. Employers will want to show their staff that the year’s … Continued

Further to our web news item of 15 April 2015 we are reminding you that from April 2016, HMRC are keen for employers to voluntarily move away from P11D reporting and report benefits in kind (BIKs) in real time each time an employee is paid. The move to tax the value of BIKs in real … Continued

The new National Living Wage is intended to ensure that work pays, and reduces reliance on the state topping up wages through the benefits system. From April 2016, the government will introduce a new mandatory National Living Wage (NLW) for workers ages 25 and above, initially set at £7.20 – a rise of 70p relative … Continued

The adult rate of the national minimum wage (NMW) is set to rise by 20p to £6.70 on 1 October 2015. As well as the change to adult rate: the apprentice rate increases by 57p to £3.30 the rate for 18 to 20 year olds will rise by 17p to £5.30 those aged 16-17 will … Continued

HMRC have updated their guidance on employees’ travel and subsistence in booklet 490, available on the Gov.uk website. The publication provides numerous examples illustrating which journeys do and do not qualify as business journeys and are eligible for tax relief. No tax relief is available for ordinary commuting or private journeys. Ordinary commuting is where … Continued