The Autumn statement presented by Philip Hammond did not hold as many surprises as perhaps expected. However, it was not without its reforms.
When moving employees between countries, the National Insurance/social security position is often overlooked but with huge impact on employer and employee costs as well as the risk of penalties, this area should be given the due care and attention it deserves ahead of time. Scrutiny from HMRC and overseas authorities is on the rise and authorities are linking up with one another more and more to share data so social security is now, more than ever, a crucial consideration for employers with globally mobile employees.
It is that time of year again when the government announces the changes to the statutory payment rates and it is up to employers to ensure they are ready to comply with the changes.
Wouldn't it be great if you could enrol all your employees into your workplace pension scheme just once and then sit back and think 'Phew, job done'?! Unfortunately, because of the UK Government's rules surrounding Auto Enrolment, it’s not quite that simple.
The Norwegian tax authorities have issued guidance that employers are required to provide their employees with a summary of income, allowances and deductions for the income year in question to all employees who have been working in Norway. These individuals will all have been on a Norwegian wage tax report. The tax authorities original guidance that the requirement to prepare the annual Certificates of Pay and Tax Deducted would end with the introduction of Real Time online reporting in January 2016 has been amended. However there are changes to the process from what it used to be. The Certificate is not now required in a specific format and it does not have to submitted to the Norwegian Tax Authorities, it only needs to be issued to employees (or sub-contractors treated as employees for Norwegian tax purposes).
An important but often overlooked benefit is likely to be given a welcome boost and propelled into spotlight following the recent Improving Lives: Work, Health and Disability green paper, issued by the Department for Work and Pensions and Department of Health. Group Income Protection (GIP), which provides a financial benefit if an employee is unable to work because of long term illness or injury, is set to become a hot topic over the coming months.
If you are an employer, who has maintained records of your employees working in Norway and reported the income relating to duties in Norway to Norwegian Tax Authorities through the a-melding throughout the year - well done!
It’s an age old debate for any business looking to implement change, particularly for small owner-managed firms who may only have a limited in-house resource; weighing up time versus money can be challenging. When it comes to auto enrolment, can a business afford the time to properly implement a pension scheme for their employees or would their time be better spent running the business and outsourcing a solution?
In ever demanding markets, successful businesses need to constantly seek more competitive and more efficient ways of working. Being prepared to face challenges can turn potentially difficult situations into advantages. This can be applied across all departments of organisations.
On 15 December the Scottish Government delivered the first draft Scottish Budget outlining their proposals for 2017/18, when they will have control over the rates and bands of Income Tax for Scottish taxpayers for the first time.
Many businesses, at some point, are faced with a letter through their door advising that HM Revenue & Customs are launching an employer compliance review into the practices and procedures around payroll, expenses, benefits, entertaining and a whole host of other employee related matters. An enquiry of this type by HMRC can involve lengthy meetings with their officers and a considerable amount of follow up correspondence in order to close the enquiry. It is also very common for HMRC to request large amounts of information throughout the enquiry process for their review, and can eat up a considerable chunk of internal resource which could be better utilised elsewhere.
Most employers are aware of Auto Enrolment and what it basically involves, but how many are keeping workplace pension scheme information for the legally required six years? If you're failing to retain adequate records you could end up with a fine from the Regulator, and you don't want that.