The subjects included within the update include:
Pilot Update PAYE end-of-year tasks for real time pilot employers HMRC Scheduled Enterprise Release Pilot employers who have not made an RTI submission yet RTI Education Products Message about NINO Verification Requests Liabilities and Payments to HMRC HMRC Bank Account Details Data Quality Top Tips Your Feedback Working with the RTI Migration team Where to find more information Useful information from earlier Pilot Employer updates
RTI AMENDMENT TO STARTER PROCESS
12 March 2013
HMRC are to update their guidance so that where an ‘in date’ P45(3) is provided to an employer, the employer needn’t ask the employee to choose a starter statement.
Starter declaration As a reminder, the starter declaration offers an individual three options to define their new employment. The statements are mutually exclusive: Statement A This is my first job since last 6 April and I have not been receiving taxable Jobseeker's Allowance, Employment and Support Allowance, taxable Incapacity Benefit, State Pension or Occupational Pension. Statement B This is now my only job but since last 6 April I have had another job, or received taxable Jobseeker's Allowance, Employment and Support Allowance or taxable Incapacity Benefit. I do not receive a State Pension or Occupational Pension. Statement C As well as my new job. I have another job or receive a State Pension or Occupational Pension. An issue arises where an individual has more than one employment and has a P45. In this case, when they pass the P45(3) to their new employer, the only statement they can accurately choose is Statement C. HMRC's current guidance tells employers to apply code BR, rather than the tax code on the P45(3). Following discussion with stakeholders HMRC now intend to update this instruction so that where an in date P45(3) is provided to an employer, the employer needn’t ask the employee to choose a starter statement. Instead the employer should complete the statement based on the following rules: • Where the tax code on the in date form P45(3) is BR, 0T or D prefix, select Statement C • For any other tax code on the in date form P45(3), select Statement B • Where the P45(3) is out of date (before 6 April 2012) then the form should not be used at all, and the full starter declaration should be completed by the individual.
CIPP Policy News Journal
12/04/2013, Page 215 of 362
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