Anyone who has difficulty paying their second 2019 to 2020 Self Assessment payment on account can take advantage of automatically deferring the payment until 31 January 2021, HMRC is reminding taxpayers.The second Self Assessment payment on account for 2019 to 2020 is ordinarily due at the end of July, but the government previously announced it is supporting the self-employed and others by allowing them to defer this payment.This option to defer is on top of additional support … [Read more...]
Budget 2020
With Coronavirus (COVID-19) taking up almost all media activity recently, it would have been very easy to have missed the Chancellors first Budget to parliament yesterday.In his first Budget, Chancellor Rishi Sunak unveiled a £12bn package to help the country through the coronavirus outbreak.£5bn emergency response fund to support the NHS and other public services in England All those advised to self-isolate will be entitled to statutory sick pay, even if they have not presented … [Read more...]
Why recruitment agencies are outsourcing their payroll?
It has never been a better time to be a freelance contract worker within the UK, growing numbers of agencies are becoming more and more reactive to the countries growing demand for a more flexible workforce.We have seen over a 40% growth in our business each year for the past 2 years, which is a clear sign of a change in which hirers are addressing their recruitment needs. With growth, comes further burdens to continue to grow unless processes are in place to support these … [Read more...]
What do you look for when you review your PSL?
Many agencies follow compliance processes they have internally to review the PSL of umbrella companies. However, do you really know what your workers are being charged and understand the payslip and calculations behind the figures?With the key information document, being issued to contractors from April 2020 by recruitment agencies now would be the time to check what is actually being deducted.We review payslips from competitors on a regular basis from contractors who are not happy with … [Read more...]
Off payroll working rules: The conclusions
For the last 10 years, the government have taken various steps to improve the effectiveness of the IR35 rules, with limited success. In April 2017 the government reformed the public sector rules which meant the responsibility to determine employment status changed from the contractor to the organisation whom they engaged with. This was put in place to increase compliance with the existing rules and not introduce a new tax liability.The government recognised that shifting responsibility is a … [Read more...]
Naming employers who fail to pay minimum wage to be resumed under revamped rules
Businesses that fail to pay their workers the National Minimum Wage or National Living Wage will continue to be publicly named by the government, following a review of the scheme. The naming scheme will resume calling out businesses failing to pay their workers the National Minimum Wage, while increasing support for employers to comply with NMW legislation. The changes, which will see naming rounds occur more often, will enhance the effectiveness of the … [Read more...]
Why recruitment agencies are outsourcing their payroll
It has never been a better time to be a freelance contract worker within the UK, growing numbers of agencies are becoming more and more reactive to the countries growing demand for a more flexible workforce. We have seen over a 40% growth in our business each year for the past 2 years, which is a clear sign of a change in which hirers are addressing their recruitment needs. With growth, comes further burdens to continue to grow unless processes are in place to support these … [Read more...]
IR35 is coming regardless of Brexit or a General Election
Just because government are unable to sort out Brexit, this does not mean that IR35 scheduled in for April 2020 is going to be delayed. Regardless of Brexit, a General Election and possible leader change, IR35 will still be in place and actioned. There has been much mentioned recently that with a General Election and possible change in government IR35 will be shelved. This is not going to happen, according to a representative from Saffrey Champness, one of the UK's Top 20 accountancy … [Read more...]
IR35 and the Private Sector changes April 2020
This has and will be a very hot topic over the coming months with the April deadline fast approaching. The new “off-payroll” tax rules are coming in to effect across the private sector as of 6th April 2020. The revamp of the existing IR35 laws, which were introduced in 2000, ensuring that contractors not meeting HMRC’s definition of Self-Employed are not benefiting from tax breaks that are associated with contracting.Since the Public Sector changes back in 2017, the rules require companies … [Read more...]