SSP disputes, Termination payments exemption, PAYE tolerances and tax debt collections.Monday, April 18th, 2011
Hopefully you will just about have finished reading last week’s newsletter when you receive this! This week’s relatively few items look at two tribunal decisions, and two related items on the thresholds used by HMRC when collecting tax underpayments and repaying overpayments.
A reminder about year-end payments to the Accounts Office – next Friday, 22 April, is a bank holiday, so your electronic payments must be cleared into HMRC’s bank account by Thursday, 21 April.
At the last minute we discovered that there appears to be two versions of HMRC’s E12(2011) Employer Helpbook in circulation, with different guidance on applying P45s for employees who start between 6 April and 25 May 2011 but who present a P45 dated in the last tax year. One says that ‘L’ suffix codes should be increased by 100; the other does not mention the uplift. We have queried this with HMRC, but we believe that P45s with last year’s ‘L’ suffix tax code should be increased by 100, e.g. 647L to 747L, in this situation.
This week’s forum questions include a “trick question” and questions about what to do when employees with court orders leave the employment. Could a payroll manager be personally liable if the employer fails to apply a court order?