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Some of the information that was made available immediately at the time of the Pre-Budget Report has now been made clear. The rates of SMP etc are increasing marginally from April but the rate of SSP is not changing. The regular annual changes to various employment law payments have also been announced – and some are going down. Not the rate of statutory redundancy pay, however, as that was increased last October and guaranteed not to go down if the statutory rules would otherwise have required a reduction.
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Posted December 23rd, 2009 | No Comments »
The weekly rates of Statutory Maternity/Adoption/Paternity Pay and Maternity Allowance are increasing by 1.5% from week commencing Sunday, 4 April 2010, despite negative retail price inflation at September 2009 (-1.4%). The new weekly rate is £124.88 and the equivalent daily rate is £17.84. The qualifying lower earnings limit is increasing from £95 to £97 per week. Continue reading
Posted December 23rd, 2009 | No Comments »
Section 34 of the Employment Relations Act 1999 and Article 33 of the Employment Relations (Northern Ireland) Order 1999 provide for an increase or decrease in the following statutory limits from 1 February each year according to the year-on-year change in the retail price index (RPI) at the previous September.
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Posted December 23rd, 2009 | No Comments »
HMRC has updated the technical guidance provided for its own officers and it is available publicly on HMRC’s website for the assistance of employers and advisers. Three specific items of interest are described below and the full list of changes may be viewed at www.hmrc.gov.uk/manuals/eimanual/updates/eimupdate101209.htm.
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Posted December 23rd, 2009 | No Comments »
The statutory Order that was made on 11 February 2009 entered into force on 18 December 2009. The new convention replaces that signed in 1968. It has effect for income tax purposes from 6 April 2010 in the UK and from 1 January 2010 in France.
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Posted December 23rd, 2009 | No Comments »
In September 2009, the Prime Minister, Gordon Brown, announced plans to extend free childcare place, funded by removing the tax relief on the provision by employers of childcare vouchers. Details were promised in the 2009 Pre-Budget Report.
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Posted December 23rd, 2009 | No Comments »
On 14 December 2009, the Student Loans Company (SLC) introduced a new initiative to limit the occurrences of over-repayments of loans through the payroll. The problem arises frequently where regular deductions are made throughout a tax year and it is only when the year-end P14 is submitted that it is discovered that more has been repaid than is owed.
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Posted December 23rd, 2009 | No Comments »
In an article in the December 2009 issue of Notes for Payroll Software Developers, HMRC announced that, when employers register to use the PAYE Online for Employers service, they will automatically be given online access to their PAYE notices and reminders, such as tax code notices and student loan notices. If they wish to receive such notices in paper form, they will have to opt out of receiving them online.
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Posted December 23rd, 2009 | No Comments »
A new “additional” higher tax rate of 50% is introduced for the 2010/11 tax year and applies to all taxable income, including savings income, above the £150,000 higher rate limit. The Finance Act 2009 made no reference to this change; it should be expected to be included in the Finance Bill for 2010.
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Posted December 23rd, 2009 | No Comments »
Section 244 of the Income Tax (Earnings and Pensions) Act 2003 provides exemption from income tax on the provision of a cycle or cyclist’s safety equipment, irrespective of how it is provided, as long as the specified conditions are met. The exemption, which also applies to National Insurance contributions, has prompted the creation of “cycle-to-work” schemes, often as part of salary sacrifice arrangements. Employees sacrifice part of their salary in return for the loan of a cycle, making it possible for such schemes to be self-financing. As with childcare vouchers, employers generally use commercially-available schemes to provide this benefit.
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Posted December 23rd, 2009 | No Comments »
