Tax and deductions from pay
While continuing to deal with the impact of coronavirus, HR professionals must ensure that their organisation complies with the usual raft of April employment law changes. In April 2021, these changes include the extension of IR35 reforms to the private sector, a tweak to the national minimum wage age bands, and increases to statutory redundancy pay and statutory maternity pay.
HR professionals in public authorities may think that the extension of IR35 reforms to the private sector in April 2021 will not affect them. However, public-sector bodies need to be aware of, and prepare for, some changes to the rules.
Changes to off-payroll regulations were postponed in April as employers dealt with the early challenges of the pandemic. Organisations need to get their houses in order now if they are to avoid exposing themselves to additional risks and costs, says Dave Chaplin.
2020 was the year that HR was required to react to the unexpected, but it's now time to plan for the known challenges in the coming year. We look at what HR can do to prepare for 2021.
From 6 April 2020, the IR35 tax regulations extend to the private sector. Medium-sized and large private-sector organisations need to prepare now for the proposed changes to the rules.
Aspects of the IR35 tax legislation, particularly the tests to determine people's tax status, have proved unpopular and many are anxious about its roll out for private sector organisations next year. Ranjit Dhindsa and Matthew Sharp of Fieldfisher explain the issues.
Employers who paid employee expenses or benefits during the 2017/18 tax year have until 6 July to submit their paperwork to HM Revenue & Customs, or they could face significant fines. Nick Bustin from Haysmacintyre explains what employers need to know.
Commentary and analysis: HR and legal information and guidance relating to tax and deductions from pay.
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Copyright © 2021 LexisNexis Risk Solutions Group
© 2021 LexisNexis Risk Solutions Group.