Adrian Hobbs, Payroll Author at Gee Publishing, will be speaking at the free Softworld HR & Payroll seminar ‘Review of recent & upcoming payroll legislative changes’ at 10.30am on 3 March. Here’s a snapshot of the key payroll changes he’ll be discussing…
Mandatory electronic payments
One of the biggest changes to affect larger employers (those with 250 or more employees in a PAYE scheme) is the requirement to pay their monthly PAYE liabilities electronically from the tax year 2004/05 onwards. The seminar will highlight the approved methods that can be used, the changed payment date for electronic payers as well as the surcharges that can apply to late payments.
Mandatory electronic filing
Another major change for larger employers is the requirement to file their end of tax year returns on forms P14/P35 electronically for the tax year 2004/05 onwards (i.e. by 19 May 2005). Some reminders will be given and information about where to go to for further advice and information.
National Insurance numbers
There are some important changes that affect the way an employer is to complete NI numbers on payroll forms, especially for the tax year 2004/05 onwards. Basically, employers will no longer be able to rely on using temporary NI numbers.
Cars and car fuel
The way in which free fuel in a company car is valued for tax purposes changed from 6 April 2003. The change will be reviewed as well as certain problems an employer might be faced with in completing form P11D.
The 2003 Special Commissioners case of Vasili v Christensen is covered. This case dealt with an employee’s ‘ruse’ to try and get himself a tax-free car. There has been a lot of comment on the case and suggestion on how the decision (likely to be short-lived) could be used by employees to reduce their tax bill.
The payment of mileage allowances, etc to employees who use their own vehicles for work-related journey will also be covered. There are a number of income tax and National Insurance pitfalls as the legislation on each is not consistent.
Other benefits in kind
There are changes in the pipeline with the taxation of company vans and childcare provisions. Although no legislation has been laid at present, the seminar will outline what is known so far and particularly how the proposals about childcare vouchers might affect salary-sacrifice schemes.
Other matters
Delegates will be reminded of the new weekly rates for statutory payments (sickness, maternity, paternity and adoption) that apply for the tax year 2004/05, and some words of warning about the payments of the working tax credit.
Take a look at the free seminar programme
