The tax summary will show the individual how their income tax and National Insurance contributions (NICs) have been calculated for the previous tax year and give an indication of how their taxes have been spent by Government. It is for information only. It will clearly tell individuals who receive one that they don't need to take any further action. The information in the tax summary will relate to the tax year ended 5 April 2014. It will also show any NICs paid by the employer to give individuals a clearer indication of the total NICs paid as a result of their employment. It is important to remember that the information will be based on all their taxes so the information may not be the same as their P60 depending on their personal circumstances. If any of your employees do contact you to query what they have been sent please advise them to go to www.gov.uk/annual-tax-summary .
National Insurance only payroll schemes
23 September 2014
HMRC have issued updated guidance for employers wishing to operate a payroll scheme only for national insurance.
This guidance typically applies in certain cross-border employment situations, including for example where the employee is regarded as not resident for UK tax purposes but is still liable to Class 1 NIC.
Amended CWG2: Further guide to PAYE and National Insurance
2 October 2014
The CWG2 guidance publication has now been amended, in particular to reflect pension changes.
The helpbook has been amended in a few areas, and a new paragraph 21a has been added to clarify the position of pension payments if a pensioner dies.
Conservative tax allowance promises announced
2 October 2014
The Prime Minister has announced planned changes to the personal tax allowance and the higher rate threshold to take effect if the conservatives win the next election.
Many thanks to The Times for their report of the announcement:
Future tax cuts for low earners and middle-class families formed the centrepiece of David Cameron’s election pitch to voters today. In his last conference speech before the election, the prime minister said that he aimed to take anyone paid the minimum wage out of paying any income tax. However, in the biggest surprise of his address, he also revealed that he would help higher earners by ensuring that only those earning more than £50,000 a year would pay the 40 per cent tax rate in the next parliament. Mr Cameron warned that many middle-class workers, such as police officers and nurses, had been dragged in to paying the higher rate, which kicks in at £41,900 a year. He said the cut, which has been demanded by Tory backbenchers, was “long overdue”.
CIPP Policy News Journal
08/04/2015, Page 277 of 521
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