Policy News Journal - 2015-16

Research from 2009 found that one in five restaurants did not pass tips to their staff, yet the vast majority of customers said they wanted waiting staff to receive tips left for them. More than three quarters wanted to see the restaurant’s tipping policy clearly displayed.

While there is a voluntary code of practice which is overseen by industry body the British Hospitality Association, restaurants may currently choose to ignore its 4 principles of transparency and adopt various tipping practices.

The call for evidence has been launched by the Department for Business, Innovation & Skills (BIS) and will run until 10 November 2015.

CIPP comment Look out for a survey on this over the next few weeks as the Policy Team will be asking for your views and experiences.

CIPP survey: Simplification of the tax and NI treatment of termination payments 7 September 2015

The Policy Team has published a survey to gather views on how the tax and National Insurance treatment of termination payments can be made simpler and fairer.

Our survey may take 15-20 minutes to complete however the changes proposed would have a big impact on payroll processes if taken forward, so please do take the time to share your views.

The consultation ‘ Simplification of the tax and National Insurance treatment of termination payments ’ was published as a result of the Office for Tax Simplification (OTS) review of termination payments, in which they concluded that the current system was fraught with confusion and uncertainty. The OTS found that employers want to pay the correct amount of tax but the complexities of the system often prevent this from being achieved.

The government therefore wants to review the tax treatment of termination payments with the aim of creating a regime that is easy for employers to administer and for employees to understand.

The consultation particularly seeks views on:

 removing the distinction between contractual and non-contractual termination payments and whether this will make it easier for employers and employees to understand  the design of the new exemption from income tax and NICs  whether the income tax and National Insurance treatment of termination payments should be aligned  which of the existing exemptions which remove the liability to income tax should be retained and whether any new exemptions should be introduced.

The survey will run until 2 October 2015. Thank you for your time and input.

CIPP survey: Consultation on apprenticeship levy 8 September 2015

Should the apprenticeship levy be collected through PAYE? Please take 5 minutes to share your views.

In the Summer Budget, the Government announced the introduction of a levy on large employers to help fund 3 million new, high quality apprenticeships

The Government wants to ensure that paying the levy is as straightforward as possible and therefore intends for the levy to be calculated on the basis of employee earnings and for employers to pay the levy through their PAYE return to HMRC.

The levy will apply to employers in all sectors, but only to larger employers. Details about how employers who are outside of the scope of the levy can access apprenticeships funding will be set out at a later date.

Last year the Government consulted on various options for reforming how apprenticeships should be funded. You were unequivocal in your response that funding through PAYE was not the answer.

CIPP Policy News Journal

25/04/2016, Page 283 of 453

Made with FlippingBook - Online magazine maker