Weekly Summary and Forum Highlights 004

Thursday, August 19th, 2010

As this is a quiet week for news, it might be interesting to consider the change that we report this week to employment law in Jersey.  The PAYE-type systems that are operated by Jersey, Guernsey and the Isle of Man have some similarities to the UK model but also some clear differences.  The Isle of Man, for example, has a tax year starting on 6 April and payroll returns with form numbers that reveal their origins in the UK system.  Both Jersey and Guernsey have tax years that, sensibly, start on 1 January.

Such variations also exist in their statutory employment rights, particularly those that have payment implications.  Jersey and the Isle of Man have established minimum wage structures, but Guernsey is introducing minimum rates for the first time this year.  The Isle of Man requires employers to pay redundancy pay, whereas Guernsey has no statutory redundancy provision.  Jersey, as explained in this week’s news, has just introduced statutory redundancy pay, using a structure that bears a close resemblance to the UK’s provisions – but with a higher weekly cap.

FORUM HIGHLIGHTS

Questions posted over the last week:

  1. What do other employers do when an employee does not complete a P46, the employer ticks box C online, and then the employee completes a P46 with a different box ticked?
  2. Do my tax credit payments have anything to do with my tax code?  I haven’t earned £6,475 yet in the tax year, so why am I paying tax?
  3. I had a personal wedding gift of £500 from my employer last year, but the employer has reported it on my P11D.  Surely it is not taxable!
  4. One of our pension payrolls makes payments to minors.  Is there any way we can get an NI number for youngsters?
  5. During maternity leave, I will be paid full pay for six weeks, followed by normal SMP plus a payment equivalent to the car allowance I normally receive.  I also receive childcare vouchers under a salary sacrifice.  My employer intends to reduce the additional payment by the amount of the salary sacrifice.  Can he do that?
  6. What do you think about HMRC’s “Real-Time Information” and “Centralised Deductions” proposals?

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