Maintenance payments are payments made by the taxable person to his or her former or separated spouse for the subsistence of that former spouse or children. To qualify for tax relief for alimony, one of the couples must have been born before April 5, 1935, and payments must be made on the basis of PAYE Transaction Agreements (PPE) often used by employers to maintain respect for workers` expenses and benefits. By entering into this formal agreement, an employer can pay all taxes due on expenses and benefits made available to employees through an annual deposit and payment to HMRC. For example, payments that can normally be included in PSA`s billing are staff parties, internal seminars, and conferences that contain generous, non-commercial items, and occasional gifts to employees. Once the agreement is in force for 2018/2019, the agreement will continue until either the company or HMRC terminates it. Until now, psa had to be renewed every year. A PSA comparison is a practical and flexible solution for managing this type of benefit, which must meet one or more of the following conditions: employers sometimes grant benefits to their employees and wish to pay tax on behalf of workers. A PAYE Transaction Agreement (PSA) is an annual voluntary agreement that allows them to do so. Any item covered by PPE is not to be reported on an employee`s P11D form. If you do not yet have a PSA and you miss this deadline, it is possible to make a voluntary disclosure and settlement for items that you would otherwise have included in PPE. However, in certain circumstances, HMRC may impose penalties and collect interest on amounts so paid. If you don`t have a PSA agreement yet, our team of labour tax specialists can help you set them up and work with HMRC to ensure the agreement contains everything you want to include now and in the future.

PPE can also help reduce the employer`s administration by removing the requirement to include certain taxable expenses/benefits for P11Ds employed and replace them with annual billing to HMRC. Items included in PPE should not be accounted for separately, for example. B through the pay slip or in the employee`s P11D. Instead of being imposed on the employee through the P11D procedure, they are imposed by this annual statement on the employer. Instead of being due to the Class 1A NIC through P11D(b), the value of benefits is subject to Class 1B social security contributions (NCI). If HMRC authorises PPE before the start of a fiscal year, employers may include all expenses and benefits contained in the agreement. If you think your company needs to do annual psa billing, please contact Fiona Wheeler for more information, either by clicking here or by calling 0161 477 2474. The value of the benefits granted should be taxed within the PPE together with the marginal tax rates of each worker concerned. It is therefore important to also take into account the tax rates applicable to workers residing in each of the UK countries, as the deputy governments (currently scotland and Wales) are able to set the tax rates of income tax payable by taxpayers established in those countries.

From April 2018, the annual PPE contract renewal process has been simplified, so employers are not required to agree in advance on PPE with HMRC each year if the categories remain the same.. . . .