CIPP Payroll: need to know - 2022-23

`The Chartered Institute of Payroll Professionals

News On Line

The clauses will mostly cover policy changes that have previously been announced. Explanatory notes, impact notes, consultation responses and tax information will be included in the supporting documents.

The policy team will be looking through this information and will provide updates on the relevant areas as we receive the documentation.

The updates will be made available on GOV.UK.

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Finance Bill 2022-23 draft legislation released Published: 20 July 2022 Emailed: 27 July 2022

Her Majesty’s Revenue and Customs (HMRC) and Her Majesty’s (HM) Treasury have released draft tax legislation for the 2022-23 Finance Bill for consultation before it is laid before parliament.

Items in the following areas have been published:

Income Tax draft legislation Corporation Tax draft legislation Capital Gains Tax draft legislation Inheritance Tax draft legislation

• • • • • • • • •

Air Passenger Duty draft legislation Insurance premium tax draft legislation Customs duties and levies draft legislation

Aggregates Levy draft legislation Miscellaneous draft legislation

Items under income tax relevant to the payroll profession are:

• Low earners anomaly: pensions relief relating to net pay arrangements – The proposed remedy for workers who do not receive tax relief as their nominal tax rate is 0%. This will take form as a reimbursement in 2024- 25 onwards • Pension schemes: amendment to taxation of collective money purchase schemes – legislation to allow payments from a collective money purchase pension scheme to be treated as authorised payments during the wind up period

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Employment Status consultation – government response and additional guidance

Published: 26 July 2022 Emailed: 27 July 2022

Employment status determinations can be incredibly complex. Lots of information is needed to accurately assess if an individual is a worker, employee or self-employed. The government recognise this and in 2018 a consultation was released seeking views on how recommendations from the Taylor reviews could work and their impacts. Today (26 July 2022) the government response to that consultation was released. Simultaneously, new guidance to assist with status determination has been published by the Department for Business, Energy and Industrial Strategy (BEIS). The guidance spans across three documents, intended for different audiences: • Employment status and employment rights: guidance for HR professionals, legal professionals and other groups • Employment status and rights: support for individuals • Employment status and rights: checklist for employers and other engagers

cipp.org.uk

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