Have you heard of the Bereavement Support Payment?Not very many people have but the BSP is a payment that you may be able to claim if your husband, wife, or civil partner died after 6 April 2017. Because this benefit isn't means-tested, you can make a claim regardless of your income or whether you're in work.The BSP has replaced Bereavement Allowance (which was previously known as 'Widow's Pension'), Widowed Parent’s Allowance and Bereavement Payment.What is the eligibility … [Read more...]
SEB on ICE
With the Single Enforcement Body shelved for the time being, it’s up to umbrella companies to step up.A recent article stated that the UK Government has reportedly shelved plans to introduce an independent body to oversee workers’ rights in the UK.On the 13 December, Grant Shapps told the Commons that plans for a Single Enforecement Body (SEB) for labour laws have been put to one side.Announced in June 2021, the watchdog was intended to combine the work done by the Gangmasters and … [Read more...]
HMRC Are Asking New IR35 Questions
The Taxman is asking new IR35 questions of clients whose contractors disputed their status and is quietly making changes to how he assesses end-client processes for handling contractor disputes over IR35 status, Treasury minutes reveal.The changes involve HMRC asking the client “specific questions” about their dispute-process and obtaining feedback on the volume of disputes; their outcomes, and if SDSs were altered.'Demands and questions from HMRC' “A list of all contractors – along … [Read more...]
HMRC has updated Disguised Remuneration Settlement Terms 2020
On 7th December HMRC has updated Disguised remuneration settlement terms 2020 for tax agents or advisers.If you’re in a disguised remuneration scheme, there’s guidance on settling your own tax affairs.The guide can be used to help anyone in these schemes understand how their disguised remuneration liabilities will be calculated under the 2020 settlement terms. They take into account changes to the loan charge following the independent loan charge review, but should be used for … [Read more...]
Retained EU Law (Revocation and Reform) Bill
There are so many headlines in the mix today that we don't know which ones to shout about first.What with IR35 determinations being handed back to the contractor, Living Wage changes, revoking of the National Insurance increase...... the list goes on.We try to report on important information in our sector and topics that affect our contractors and agencies.This little snippet nearly got lost in the mini budget news. There was an employment law development yesterday and it is very … [Read more...]
National Insurance rise to be reversed in November
A 1.25% rise in National Insurance will be reversed from 6 November and the government will axe a planned tax rise to fund health and social care.The NI rise was introduced in April under former chancellor Rishi Sunak, but during the Tory leadership race Liz Truss pledged to change it.New chancellor Kwasi Kwarteng made the announcement ahead of a "mini-budget" on Friday.He said: "Taxing our way to prosperity has never worked."To raise living standards for all, we need to be … [Read more...]
HMRC’s Latest List of Tax Avoidance Schemes
Here is HMRC's latest list of tax avoidance schemes. Its not long since HMRC's last update so they are clearly very active in highlighting these schemes and outing the perpetrators. That's good to see, particularly if it helps stop non-compliant umbrellas and stops contractors becoming embroiled in a scheme that results in a huge future tax bill that they're personally liable for.We would like all umbrella companies to be compliant in their approach to avoidance of Tax and not look to … [Read more...]
Support package for over 50s jobseekers
On the 4th July the Government announced a new support package to tackle unemployment amongst the over 50s on benefits.The new measures are set to help a quarter of all job seekers get back into work with an estimated £22 million investment.As a stable income is the best route for people to support themselves through challenging times, Jobseekers over the age of 50 will have more one-to-one support at jobcentres. This will help them get into and progress in work, boosting their earnings … [Read more...]
Hot Topic – Preferred Supplier Lists
With recent headlines, there is a need for Preferred Supplier Lists (PSL's) but at what cost?A contractor could demand that they continue to be paid through an umbrella that is not on an agencies PSL and that umbrella might not be compliant. The contractor may want to continue to use them as their take home pay is 85%+. In this instance, why should an agency want to use them?There is also additional administration in setting them up, if they have not worked with them previously. Due … [Read more...]
Changes to National Insurance
The big story in this Spring Statement was the announcement that the Government will increase both the Primary Threshold and Lower Profits Limit of National Insurance to bring them in line with the income tax personal allowance of £12,570.The Primary Threshold and Lower Profits Limit are the points at which both employees and the self-employed start paying National Insurance.Speculation had mounted in recent weeks that the Chancellor would cancel the proposed increase in National … [Read more...]