Newsletter Spring 2016

The good and bad news

The Employment Allowance is a good thing – it gives almost every employer a credit worth up to £2,000 to set against their NIC bill. This credit will increase to £3,000 for 2016/17, which may help to offset the costs of the higher 'living wage' payable from 1 April 2016.

The bad news is that the Employment Allowance will be withdrawn from oneperson companies from 2016/17. These are companies where the sole director is the only employee.

If this applies to your company, you must remember to untick the claim for Employment Allowance in your first Real Time Information (RTI) submission for 2016/17. We can do this for you if we handle your PAYE submissions.