“…Rogue bosses like TGI Fridays are being let off the hook to abuse tips and exploit government/HMRC guidelines (E24) on tips and troncs, to boost their own profits and offset the cost of the government’s pay rise to low earners.
Workers at TGI Fridays have already had time and a half payments for working bank holidays axed and free staff meals scrapped since the NLW was introduced three years ago. When the company announced a 40 per cent cut to their tips early this year, they said ‘enough.’ The government’s failure to act is fostering exploitation and industrial unrest. It is also leading to higher staff turnover and skill shortages and is hampering Unite’s efforts to work with the industry on a voluntary code of practice on fairness and transparency.
“Unite is demanding that the business secretary, Greg Clark, stop dragging his feet and take action on tips…”
CIPP comment In May 2016 BIS (now BEIS) published a further consultation on tips, gratuities, cover and service charges which detailed proposals for further action on fairness and transparency. The CIPP surveyed payroll professionals and duly sent our formal response to BIS summarising our findings. We concluded that both this consultation and the outcome of the call for evidence in 2015 highlight the complexities of this area. It is vital that any changes in process or guidance are introduced in close consultation with stakeholders to ensure that clarity and transparency are brought about for businesses, workers and customers.
No response has ever been published by BEIS. It will be a very positive step if the letter from Unite prompts some action from government.
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High Income Child Benefit Charge 18 June 2018
If any of your employees has an income of over £50,000 and claim Child Benefit or have a partner who claims, they may have to pay the High Income Child Benefit Charge.
HMRC is urging employers to remind your employees to check their annual income to calculate whether they are liable to pay High Income Child Benefit Charge. Details of their income can be found on their personal tax account (PTA) and/or P60.
More information on the High Income Child Benefit Charge is available here.
What you can do with your PTA account More than 13 million people are already using their personal tax account to complete a variety of tasks, from updating an address to filing their self assessment return. You could remind employees of all the things that their PTA can enable them to do, which in turn will help to reduce the number of queries that come to payroll.
Individuals can:
•
check and change your address
• see what tax code you’re on, and how your tax is calculated • check your state pension and your National Insurance record • go paperless – gets texts and emails from HMRC rather than letters • manage your tax credits and Child Benefit payments • allow a family member or friend to manage your tax affairs on your behalf • track the progress of any forms you’ve submitted to HMRC • and lots more…………
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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