National Insurance guidance for software developers, effective for the tax year 2014-15
The 2014-15 version of this technical specification will be available before the end of December on the HMRC website at Payroll - technical specifications.
As a result of the announcement the 2014-15 Primary (employee) Threshold (PT) and Secondary (employer) Threshold (ST) are the same value. It is possible that indexation may result in these thresholds having different values in future years. In view of this and in order to avoid making unnecessary changes the formulae in the technical specification has not been changed. As a result the earnings between the ST and PT will be zero as will the NICs rebate for that portion of the earnings.
Changes in tax coding
There will be a general uplift of tax codes with suffix ‘L’. Full instructions will be issued to employers on form P9X(2014) ‘Tax codes to use from 6 April 2014’ a copy of which will be available on the HM Revenue & Customs (HMRC) website in February 2014. As a general rule, unless an amended code notification has been received on a form P9 (T) (or an internet or Electronic Data Interchange equivalent) employers should amend 2013-14 codes as follows: • ‘L’ suffix codes – increase by 56; code 944L becomes 1000L • The PAYE threshold with effect from 6 April 2014 is raised to £192 per week (£833 per month) • The code for emergency use with effect from 6 April 2014 is 1000L
Changes to Tax Tables from 6 April 2014
The new Taxable Pay Tables will be available at this link during February/March 2014. The Tax Tables are available in easy to print format so if you need a paper copy you can help HMRC to keep costs down by printing one off. These tables (Calculator Tables April 2014 or Tables B to D April 2014) give effect to the revised Income Tax rates and bandwidths, and are brought into use from the first pay-day on or after 6 April 2014.
Student loan repayment threshold for tax year 2014/15
23 January 2014
HMRC has confirmed to the CIPP that from 6 April 2014 the student loan threshold will rise from £16,365 to £16,910.
2014/15 thresholds for student loan borrowers in the current Income Contingent Repayment (ICR) scheme:
Annual - £16,910 Monthly - £1,409 Weekly - £325
The rate of deduction remains the same at 9%.
CIPP Policy News Journal
08/04/2015, Page 449 of 521
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