CIPP Payroll: need to know - 2022-23

`The Chartered Institute of Payroll Professionals

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With many other tax jurisdictions offering ‘digital nomad’ visas, giving tax -free stays to mobile workers, it may be time the UK catches up to evolving working conditions.

The OTS will need to understand and consider the impacts on the exchequer and tax system, as well as conduct a thorough analysis of the implications on the UK economy. They have committed to publishing the report of findings in early 2023.

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Liz Truss is the next prime minister Published: 5 September 2022 Emailed: 7 September 2022

Today (5 September 2022) it has been announced that Liz Truss will become the nation’s next prime minister. Boris Johnson, the outgoing prime minister, will travel with Truss to Balmoral, where the Queen will officially transfer power.

Truss’ campaign pledges have been widely publicised. Among them, her plans to scrap the national insurance hikes implemented by the previous government. However, these pledges will need to be put into action.

We eagerly await further information as to how her pledges will be enacted as well as news of her new cabinet, including chancellor of the exchequer.

The CIPP will bring further news and updates as we hear more. If there are further changes within the tax year to National Insurance, payroll professionals are set to have a rather turbulent year.

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Kwarteng replaces Zahawi in Truss’ new cabinet Published: 7 September 2022 Emailed: 7 September 2022

Liz Truss, the new prime minister, has started to announce the MP’s who will form her new government cabinet. Kwasi Kwarteng is to replace Nadim Zahawi as chancellor of the exchequer.

Truss has made an abundance of pledges and promises relating to the fiscal future of the country, namely the scrapping of the National Insurance (NI) hike. Other financial policy impacts include energy bills, corporation tax and employment rights.

The impacts on the payroll profession are potentially huge, but more information is needed before we can fully understand how to plan for the future.

The CIPP will keep up to date with the latest developments with the new government, updating you as we know more.

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Government statement clarifies AMAP tax implications Published: 9 September 2022 Emailed: 14 September 2022

Alan Mak, the exchequer secretary to the Treasury, has made a statement clarifying the tax treatment of business milage payments.

Responses to previous questions on the subject of Approved Mileage Allowance Payments (AMAP) offered some incorrect advice. They stated Income Tax and National Insurance does not need to be paid for actual expenditure in relation to business mileage. However, this only applies to volunteer drivers.

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