Employer Bulletin: August 2022
10 August 2022
The Bulletin contains a wealth of information of interest to payroll professionals and the work that they carry out, and the CIPP recommends that it is read in its entirety.
Key items from the bulletin are highlighted below, but the full version can be accessed here.
PAYE
- PAYE Settlement Agreements
- HMRC has recently completed a review of customer feedback from employers who make use of PAYE Settlement Agreements. Acting on that feedback we have redesigned the PSA1 form in line with your needs. We have also introduced a more efficient digital submission route. The new form is available from PAYE Settlement Agreement (PSA1)
- payment deadline and calculation reminder
- you must pay any tax and National Insurance owed under a PAYE Settlement Agreement by 22 October after the tax year to which the PAYE Settlement Agreement applies (19 October if you pay by post). ‘Pay a PAYE Settlement Agreement’ gives more information on how to pay
- employers PAYE variable payment
- from 19 September 2022, in response to customer feedback, employers’ PAYE customers will be able to take advantage of a new variable Direct Debit payment plan. The service can be accessed through Pay employers’ PAYE or directly through the business tax account and the employers PAYE service
- first Full Payment Submission for new starters: the importance of using the correct employee addresses
- when completing the first Full Payment Submission for new starters it is important that you obtain and enter your employee’s correct address and postcode and use the employee’s P45 information to record their previous pay, tax and student loan (if applicable). If the employee does not have a P45 you can use the following starter checklist for PAYE. If you use the starter checklist to add the employee onto your payroll records and you receive the P45 after you have received a tax code from HMRC, you do not need to update the previous pay, tax, or tax code on your payroll software, only update student loan details (if applicable). Using the correct postcode and address is important because HMRC uses the postcode to verify the employee’s address.
Coronavirus (COVID-19) updates and information
- VAT deferred due to COVID-19 — act now to avoid a penalty.
Tax updates and changes to guidance
- tax avoidance — don’t get caught out
- you must sign up now for Making Tax Digital for VAT
- employees applying for a certificate of liability to pay Social Security contributions only in the UK — new attachment facility
- bringing commercial goods into Great Britain in baggage — moving to the Customs Declaration Service to submit declarations
- new Tax Residence Indicator tool.
General information and customer support
- New professions able to issue fit notes
- Pension Credit — help your employees to understand who might be eligible
- Organised labour fraud
HMRC’s support for customers who need extra help
- HMRC’s principles of support for customers who need extra help set out our commitment to support customers according to their needs, and underpin the HMRC Charter
- find out how to get help and the extra support available.
Information provided in this news article may be subject to change. Please make note of the date of publication to ensure that you are viewing up to date information.