Chartered Accountants of Poynton, Cheshire |
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National minimum wageFrom 1 October 2007 this is set at £5.52 per hour for workers aged 22 or older. The reduced development rate for employees aged between 18 and 21 is £4.60 per hour. The rate for workers who are under 18 and no longer of compulsory school age is set at £3.40 per hour. National Insurance numbersIt is vital that, as an employer, you show full and correct National Insurance numbers on all documents on which you record contributions, particularly when the forms are submitted to HMRC as part of PAYE compliance. If an employee does not know their National Insurance number, you can trace it through HMRC by filling in HMRC leaflet CA6855. If you have doubts over the accuracy of the National Insurance numbers that you hold, HMRC can check and update them for you. The full procedure is set out in HMRC leaflet CA89. Money launderingThere have been changes to the identification procedures (ID) that accountants have to legally carry out on their clients. Until December 2007 this was only required for new clients taken on after 2004. In December this changed, so now we may need to carry out a formal ID check on all our clients. While this is unlikely for long-established clients, we might have to carry out an additional ID check on some clients for whom we do not have sufficient ID details on our files, to satisfy the regulatory requirements. |
Tax and TravelCar and Fuel BenefitsThe taxable petrol and diesel car benefit is based on the car's CO2 emissions. It is calculated using the car's UK list price and applying the 'appropriate percentage' as shown in the table opposite. The first line of figures in the table relate to the new category of qualifying low emissions cars (QUALECs). Discounts of between 2% and 6% are given for cars other than QUALECs that can be driven on alternative fuels. The car fuel benefit is calculated by applying the same percentages to the fuel multiplier, which for 2008/09 is increased from £14,400 to £16,900. VAT on Fuel For Private Use in CarsWhere businesses wish to reclaim the input VAT on fuel which has some degree of private use, they must account for output VAT on a scale charge. The table shows the VAT chargeable for quarters commencing on or after 1 May 2008. Company VansThe taxable benefit for the unrestricted private use of vans is £3,000. There is a further £500 taxable benefit if the employer provides fuel for private travel. |
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