Tax Documents
Professionally drafted, regularly updated documents each with its own "how to use" introduction

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Employee remuneration (14)

Employee contract pay in lieu of notice clause
In the absence of an express payment in lieu of notice clause, you don't have the contractual right to terminate employment summarily upon making such a payment. This doesn't mean you can't do it, but you do need to weigh up all the pros and cons.PILON or damages?In the absence of an express Employee... Read more
DOWNLOAD June 2019
Type: Clause
Employee equipment allowance
  Employee equipment allowanceWhere your employees use equipment for work which they personally own or rent, you can reimburse them the business element of their costs tax and NI free. Quantifying the amount you can pay without having to apply PAYE can be tricky especially where there is personal as... Read more
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Type: Form
PAYE compliance review audit checklist
PAYE compliance review checklistIf you receive a letter telling you that HMRC wants to carry out a compliance review of your payroll records, use our checklist in advance of HMRC's visit to review your records so that there are no surprises on the day.Prepare for a visitHMRC has a legal right to inspect... Read more
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Type: Checklist
Childcare voucher salary sacrifice policy
Where childcare is provided by way of voucher, the first £55* per week is tax free if certain conditions are met. Whether you administer a voucher scheme yourself or engage an external voucher provider, you need a policy in place to demonstrate that your scheme meets the requirements. An approved schemeTo... Read more
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Type: Policy
Golden hello payment letter
An inducement payment will sometimes be made to a new employee. Such a payment will normally be taxable. Exceptionally, it may be tax-free if you can demonstrate that the payment is not by reason of the employment. How can you establish this?Lump sum paymentA "golden hello" is a popular term for a lump... Read more
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Type: Letter
Sample childcare voucher
Where you offer your employees childcare vouchers as a benefit in kind, you can use a childcare voucher company to administer the scheme and provide the vouchers. Alternatively, you arrange childcare direct with registered childcarers and produce your own vouchers for employees to redeem. Tax-free vouchersThe... Read more
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Type: Form
Staff suggestion scheme rules
You might want to reward your employees for certain ideas that contribute to the success of your business. Previously by concession, this is now a statutory exemption. However, there are conditions you'll have to meet.Financially beneficialA little-known way of giving employees tax and NI free cash is... Read more
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Type: Policy
Salary sacrifice policy
If you want to implement a salary sacrifice scheme in your company, make sure you insert the relevant policy in your staff handbook. Scheme particularsIncluding a Salary Sacrifice Policy in your staff handbook is important both to convey the details of the scheme and to point out any drawbacks. For example,... Read more
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Type: Policy
Termination payment letter
You need to take account of both the legal and tax issues when drafting documentation for dealing with a termination payment. But if you don't have any employment issues with the departing employee it's arguable that the payment can be made tax free (subject to the £30,000 tax-free limit). Use this... Read more
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Type: Letter
Staff suggestion scheme record
Tax rules permit employers to pay employees a tax and NI-free sum for suggestions to improve the busines. Keep a separate record of such payments to help justify the tax and NI treatment should HMRC make enquiries.Log the ideasThe really clever bit of a staff suggestion scheme is that even if you get... Read more
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Type: Form
Termination payment minutes
You can use company law formalities to support your case that a termination payment is not ordinary earnings and hence not taxable (up to a £30,000 limit). What's involved?Ex gratia minutesIf possible, agreement to make a termination payment, and its approval by the board using Termination Payment Minutes,... Read more
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Type: Miscellaneous
Employee personal appreciation gift letter
There are very few circumstances in which an employee can receive tax-free cash from an employer. But a gift made "on personal grounds" or as a "mark of appreciation" might be one of them. How do you go about proving this to the HMRC's satisfaction?A personal giftWhere cash paid to an employee is a genuine... Read more
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Type: Letter
Register of child carers
HMRC imposes a fairly strict record-keeping regime on employers who provide their staff with subsidised childcare as a benefit in kind. For example, the tax and NI exemption which can apply is only given where the childcare is provided by a registered or approved carer. For this reason you should keep... Read more
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Type: Form
Salary sacrifice letter to employee
Where you enter into a salary sacrifice arrangement with an employee it will only be effective for tax and NI purposes where you have notified them of the consequences. Benefit in kind instead of salarySince 6 April 2017 most salary sacrifice arrangements cease to offer tax or NI savings. However, some... Read more
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Type: Letter