Archive for September, 2009

The High Court decision this past week in what is commonly called the Heyday case has hit the headlines. All of the original parties to this case, which tackles the issue of whether the UK’s “designated retirement age” of 65 discriminates against people who want to work longer, have changed their names, and the claimant [...]

A Protocol to the Double Taxation Convention between the UK and Malaysia was signed in London on 22 September 2009. The Protocol updates the exchange of information Article of the existing Agreement to bring it into line with current OECD standard and practice. The Protocol will enter into force once both countries have completed their [...]

On 25 September, the High Court gave its judgement in the long-running Age Concern case, which challenges the setting of age 65 as the designated retirement age (DRA) in the Employment Equality (Age) Regulations 2006. In July 2007, the charity Age Concern challenged the legality of the legislation, claiming that it allows employers to discriminate [...]

Following on from the announcement on 15 September that additional paternity leave and pay will be introduced from April 2011, the Department for Business, Innovation and Skills (BIS) has published the third consultation document on the subject, this time providing information on the detail of the policy, supported by draft Regulations and a detailed Partial [...]

The latest website tohave its guidance moved to the central Directgov and Business Link websites is DWP’s Pension Service website. Directgov now provides individuals with all government information about pensions, retirement and later life. Business Link is aimed at employers. Further information: This site is closing soon Sponsored by Learn Payroll

HMRC’s Data Provisioning Service (DPS) is the means by which HMRC sends PAYE notices and reminders to employers and agents online. Employers and agents can log in to the PAYE for Employers services on HMRC’s website and read and download tax code notices, student loan notices and other employer notices. Some developers have also built [...]

In the September 2009 issue of Notes for Payroll Software Developers, HMRC provides an overview of the major upgrades that have been made to its PAYE processing systems. During July 2009, HMRC launched the National Insurance and PAYE Service (NPS), a single, national computer system which replaces the 12 regional databases that have handled PAYE [...]

The current Employer CD-ROM provides calculator and year-end filing facilities aimed at small employers with fewer than ten employees. Employers who use the CD-ROM and its employee database are able to calculate tax, NICs and student loan deductions, store the information and complete and file P14 Summaries and the P35 Employer Annual Return online, in [...]

The Northern Ireland Executive announced on 21 September that a “cycle to work” salary sacrifice scheme is being introduced by the Department for Regional Development. The scheme takes advantage of the tax and NICs relief on the loan to staff of cycles for commuting journeys. It is already running in many Northern Ireland public and [...]

The Labour Court has made a new Employment Regulations Order (ERO) fixing the statutory minimum rates of pay and statutory conditions of employment for workers in the scope of the Retail Grocery & Allied Trades Joint Labour Committee (JLC). The new rates are effective from 25 October 2009. Further information: Statutory Minimum Rates of Remuneration [...]

After months of rumour, the Department for Business, Innovation and Skills has opted for the cheapest and least burdensome option for introducing additional paternity leave and pay. Gone, at least for now, is the promised increase in paid maternity leave from 39 to 52 weeks. There was never going to be a large take-up of [...]

As mentioned in our newsletter in early August, HMRC announced that the interest rates for late and overpaid PAYE tax and NICs would be recalculated following the September meeting of the Monetary Policy Meeting (MPC), even if there were no increase to the Bank of England base rate. On 10 September the MPC agreed to [...]

There has been no substantive information provided by the Government for over 18 months on its promise to extend paid maternity leave to a year and introduce additional paternity leave. There have been lots of rumours, however, generally propounding the view that, in view of the economic problems faced by employers, the Government was having [...]

In previous newsletters we have suggested that tax code D1 would likely be used to force deduction of tax under PAYE at 50% when this new higher rate is introduced in April 2010. Tax code D0 is currently used where all of an employee’s earnings are taxable under PAYE at the 40% tax rate. The [...]

Minimum wage rates for agricultural workers in England and Wales come into force from 1 October 2009, at the same time as the 2009 National Minimum Wage rates. The changes proposed by the Agricultural Wages Board for England and Wales in July have been confirmed, as follows: an increase in the Grade 1 (Initial Grade) [...]

The Labour Court has made a new Employment Regulations Order (ERO) fixing the statutory minimum rates of pay and statutory conditions of employment for workers in the scope of the Hotels Joint Labour Committee (JLC). The scope of the Order is hotels, excluding Cork and hotels otherwise in the scope of the JLC for hotels [...]

The thrilling surrounding of Alton Towers Theme Park resort played host to the Institute of Payroll Professionals 25th Annual Payroll Conference and Awards Ceremony on the 15th – 17th September. The main aim of the industry’s premier three-day event, held at the theme park’s Conference Centre, was to provide those who work in payroll with [...]

There are two categories of news items this week – those of an international nature, including a consultation for consideration by employers who are sponsors of immigrants under the points-based Tier system, and two important European Court of Justice cases. The Gassmayr case, as yet just an Opinion provided by an Advocate General, relates to [...]

On 10 September 2009, in a relatively short decision in the case Francisco Vicente Pereda v Madrid Movilidad SA, the European Court of Justice (ECJ) ruled that, where a worker falls sick during paid holiday leave, the worker is entitled to take the paid leave at another time, in the current or next holiday year. [...]

On 3 September 2009, Advocate General Poiares Maduro delivered his Opinion in the case Susanne Gassmayr v Bundesministerin für Wissenschaft und Forschung. The Opinion of an Advocate General is usually a preliminary step in the procedures leading to the judgements of the European Court of Justice (ECJ). The Higher Administrative Court of Austria had referred [...]