Pam Roberts

Hi, Thank you for your response. Just to clarify, SMP has to be paid in its entirety and nothing that would reduce tax or NI can be taken from it? Kind Regards Pam

Hi, The employer runs a share incentive plan. Employee purchases shares from pre tax earnings and therefore receives tax and NI relief. During periods when the employee is due to receive SMP only can the value of the share payments be deducted from the gross pay (SMP only). The employee also receives matching shares up to a point and therefore if they done purchase shares, they also don't receive the matched shares

Just to clarify the SIPS have tax and NI relief

If an employee runs a share incentive scheme, can the deduction towards shares be taken from SMP.

Can anyone help with this query?

A current employee who has been working on an international assignment in Canada, has now returned to the UK. During the assignment period, they were on an NT tax code as they were subject to local taxation etc . There is no change of employment status but as they now subject to UK legislation, are we able to remove the NT tax code to avoid an underpayment of tax in which case what tax code should be used

Hi The response from CIPP had now been amended as they were not aware that the salary sacrifice agreement had been signed at the appropriate time i.e. before the first deduction should have been taken but was not leading to an overpayment

Hi, So to be clear, we can back date the salary sacrifice to the point of agreement in order to take into account payments not made. I have had advice from CIPP that states that we cannot back date salary sacrifice

It has come to our attention that we were notified late for a number of car contracts for employees utilising the car leasing scheme and paying by salary sacrifice. As a result, the employees only started paying for the car one or more months after they were in receipt of the vehicle and were therefore overpaid from the month deductions should have started. This means that at the end of the lease one or more months deductions would be outstanding and would need to be paid. The start date for these are in the previous tax year. In order to bring these payment up to date, would it be correct to increase the deductions, with the employee signing an agreement, from current month until the end of the contract, or would we need to recalculate the payslip at the relevant month(s) to calculate the net overpayment to incorporate the correct tax and NI relief at that time

An employee ticked that they had a postgraduate loan to be repaid from their salary. This was correctly processed based on this information, however after two payments and after March payroll had been processed we received a notification that she was a non borrower, the payment should be stopped and a refund made. As we had processed our final FPS and were moving into the current tax year, we advised that we could not make the refund through payroll and to contact the student loan company. The individual has contacted them and they are advising that since she did not actually have a post graduate loan, they did not have funds there to refund. They have completed a form which apparently they send to HMRC but if they haven't received the payments what is the process for her to receive a refund