MY CIPP
PAYROLL news
Agents able to register to payroll benefits IN THE latest Employer Bulletin from HM Revenue and Customs (HMRC), it has been confirmed that agents will be able to register for the payrolling of benefits from May 2024. This news comes amidst the confirmation that payrolling benefits in kind is to be made mandatory from April 2026. The publication confirms that providing the agent has the correct permission, they can use the payrolling benefits in kind service to register or remove benefits and expenses to be payrolled in the next tax year. The benefits and expenses covered include mileage / motoring, private medical and relocation expenses, and agents will be able to register ready for payrolling from the start of the tax year 2025/26. The March Employer Bulletin can be accessed in its entirety here: https://ow.ly/Xbmp50R7GyV.
Calls for the reform of statutory sick pay (SSP) grow THE WORK and Pensions Committee recently released a report which delved into the current effectiveness of SSP and made some recommendations to the UK government. Within the report was the conclusion that, “SSP does not provide adequate support for those who most need protecting from financial hardship during periods of sickness absence.” Some of the recommendations within the report were as follows: ● a slight increase to the rate of SSP, to align it with statutory maternity pay ● the removal of the lower earnings limit earning requirement, so all employees could be entitled to SSP ● waiting days should be kept, to limit unpredictable behavioural changes ● the government should consult with small and medium businesses to explore the possibility of a small business rebate for SSP. Nothing has changed at the time of writing but if there’s any movement in this space, we will, of course, keep you updated. The Work and Pensions Committee’s report can be accessed in full here: https://ow.ly/ NHGx50R88BN.
Clarification regarding part-year (PY) workers definitions for holiday pay and entitlement GUIDANCE RELEASED by the Department for Business and Trade has been updated, to confirm whether term-time workers paid in a certain way can be classed as PY workers. This is particularly important for payroll professionals when determining the holiday pay and entitlement these types of workers are entitled to. The guidance can be found here: https://ow.ly/hb2G50R88H6. Previously, the guidance stated a worker would be classed as a PY worker if, “In relation to a leave year, if, under the terms of their contract, they are required to work only part of that year and there are periods within that year (during the term of the contract) of at least a week which they are not required to work and for which they are not paid.” It was therefore considered that a term-time worker, paid in equal instalments across the year, couldn’t be classed as a PY worker. The guidance has now been updated to include the following clarification: “The regulations require that there must be a period of at least one week ‘for which they are not paid’ which means that it would still be possible for a worker to be paid ‘during’ that period so long as there is no expectation of them working in that period and nor are they receiving payment ‘for’ that period.” So, it’s now accepted that a PY worker may be paid in equal instalments across the year and still satisfy the description provided within the legislation, meaning term-time workers paid in this way could be classified as such.
Diary dates
5 June 6 June
Last day of tax month 2
First day of tax month 3
19 May (This is a weekend date)
Last day for submitting a real time information employer payment summary to apply to tax month 1 Deadline for payment of PAYE and NICs etc to HMRC’s Accounts Office by non-electronic method
22 May 31 May
Deadline for payment of PAYE and NICs etc to HMRC’s Accounts Office by electronic method
Employees on payroll as of 5 April 2024 need to receive their P60 by this date
5 July 6 July
Last day of tax month 3 First day of tax month 4
| Professional in Payroll, Pensions and Reward | May 2024 | Issue 100 12
Made with FlippingBook - Online magazine maker