The following Employment Tax guidance note Produced by Tolley in association with Sarah Bradford provides comprehensive and up to date tax information covering:
Under the Immigration, Asylum and Nationality Act 2006 employers have a duty to prevent illegal working in the UK. As part of the process of taking on a new employee, an employer should check that the individual in question is legally entitled to work in the UK. Employers are obliged to check a document that is regarded as acceptable for showing permission to work in the UK. The initial checks should be carried out before employing a person. Follow-up checks should also be carried out where a person’s right to work in the UK is time-limited. While there is no penalty for simply failing to carry out such a check, if an employer is found to be employing someone who does not have a legal right to work in the UK, the employer can face a civil penalty of up to £20,000 in respect of each illegal worker. If the employer knows that an individual does not have the right to work in the UK but employs them anyway, that is a criminal offence for which the penalty is an unlimited fine and / or up to two years in jail. The employer should be aware that they are liable for the civil penalty, even if the check is performed by a member of staff. Further, the employer will not be able to establish a statutory excuse if the check is performed by a third party, such as a recruitment agency or a professional adviser. It is vital that employers understand their responsibilities in relation to the checks.
The Government produce a guide for employers, setting out what checks they need to undertake to make sure that an individual has a right to work in the UK.
The UK negotiated a Withdrawal Agreement and left the EU on 31 January 2020 (referred to as ‘exit day’) with an 11-month implementation period up to 31 December 2020. While exit day
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Class 2 and Class 4 national insurance contributions (NIC) are paid by self-employed individuals and partners in a partnership on their profits arising within the UK. This guidance note considers Class 4 contributions. For Class 2 contributions, see the Class 2 national insurance contributions
IP COMPLETION DAY: 11pm (GMT) on 31 December 2020 marked the end of the Brexit transition / implementation period entered into following the UK’s withdrawal from the EU. At this point in time, key transitional arrangements came to an end and significant changes began to take effect across the UK’s
This guidance note explains the general rules surrounding the availability of indexation allowance on the disposal of company assets and provides information on the rebasing rules for assets held on 31 March 1982. For an overview of the general position regarding company disposals, please refer to
This guidance note considers the capital gains tax implications where shares are sold in exchange for new shares.The consideration paid by a purchasing company to the shareholder(s) for their shares in a target company could be in the form of either:•new shares in the purchasing company in exchange