Employers choosing to reimburse their staff for the cost of the EU Settled Status scheme 17 January 2019
From 30 March 2019 European Union (EU) citizens and their family will be able to apply to get either settled or pre- settled status.
Where an employer pays or reimburses their employees’ application, such a payment will be taxable as employment income as the payment is of direct monetary value to the employee.
However employers can also choose to meet the cost of this tax charge for their employees. For many employers this can be managed using their existing arrangements with HMRC, using a PAYE Settlement Agreement (PSA) which allows employers to make one annual payment to cover all the tax and National Insurance due on minor, irregular or impracticable expenses or benefits for their staff.
For further information on PSAs go to GOV.UK.
This information was highlighted in the December 2018 issue of HMRC’s Employer Bulletin.
21 January 2019 – BBC announcement Theresa May has scrapped the £65 fee millions of EU citizens were going to have to pay to secure the right to continue living in the UK after Brexit.
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Reimbursing staff for the cost of the EU Settled Status scheme 28 January 2019
In the December Employer Bulletin the process for any employers choosing to reimburse the £65 fee for settled status was highlighted. Payment of this fee has since been rescinded by government.
On 21 January 2019 – Theresa May announced that the £65 fee would be scrapped for those millions of EU citizens who were going to have to pay to secure the right to continue living in the UK after Brexit. This announcement followed the defeat of the Prime Minister’s withdrawal agreement in the House of Commons.
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Data Protection and Brexit - Is your organisation prepared? 29 January 2019
Businesses and charities need to continue to comply with data protection law after 29 March if the UK leaves the EU without a deal.
If your organisation shares personal data with organisations in the European Economic Area (EEA), you will need to take steps to ensure you continue to comply with data protection laws if the UK leaves the EU without a deal. For UK businesses that only share data within the UK, there will be no change.
Personal data refers to any information that can be used to identify a living individual, including a customer’s name, their physical or IP address, or HR functions such as staff working hours and payroll details.
The UK does not intend to impose additional requirements on transfers of personal data from the UK to the EEA, therefore, organisations will be able to send personal data to organisations in the EEA as they do currently.
However, transfers of personal data from the EEA to the UK will become restricted once the UK has left the EU.
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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