For businesses who use the services of a bureau, they should liaise with them to confirm whose responsibility it is to access and action reports.
To access reports, there are a variety of methods:
- - -
Via Payment Services Website (PSW)
Via Bactsel-IP software
Via Hardware Security Module (HSM)
Regardless of which process is used to access reports, users must remember to ensure to keep their colleagues’ contact details up-to-date.
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Update on the treatment of DEAs during the outbreak of coronavirus 3 July 2020
Due to the impact that coronavirus, or COVID-19, has had on almost every aspect of our daily lives, the Department of Work and Pensions (DWP) announced that it would be writing to employers to instruct them to temporarily stop benefit debt repayments, and that no Direct Earnings Attachment (DEA) deductions should be taken from employee pay in April, May or June 2020.
Member feedback has highlighted the fact that the letters received from DWP actually advised employers to cancel deductions, and not to temporarily suspend them.
The CIPP has approached the DWP to ask whether the suspension to DEAs will be extended beyond June 2020, and what employers need to do to prepare. The advice given was that employers will be contacted by letter if any DEA deductions are to resume. This is due to the fact that many people may have lost their jobs due to the effects of coronavirus, or may just be living under completely different circumstances. It may be that people opt to pay directly to DWP and not have the funds deducted through payroll. In light of this fact, and how significantly things may have changed, the DWP will be contacting individuals directly and then will be sending letters to employers should there be the requirement for a DEA to be added to an employee’s payroll record. The key point is that employers and payroll professionals should not recommence DEA deductions for staff until they receive a letter instructing them to do so. Current guidance is due to be updated shortly to reflect this information, and the CIPP will publish via News Online once this happens.
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Coronavirus pauses the government’s review of the net pay anomaly 6 July 2020
At Budget 2020, it was announced that a call for evidence would be published in relation to the issue surrounding pensions tax relief administration, as per the pledge in the Conservative manifesto to review the problem.
Unfortunately, coronavirus has meant that the publication of the government’s call for evidence has been delayed. As reported by The Financial Adviser, Economic secretary to the Treasury, John Glen, confirmed that COVID-19 had affected the publication date of the call for evidence, and explained that the government will provide further detail “in due course”. He said:
“At Budget 2020 the government announced a call for evidence will be published on pensions tax relief administration, in line with our manifesto commitment to comprehensively review this issue.
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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