National Insurance – Employment Allowance 2015/16
For those businesses who operate a PAYE scheme & met certain criteria for the 2014/15 tax year would have meant they qualified for a National Insurance ‘Employment Allowance’ of £2,000.
The good news is that the £2,000 ‘Employment Allowance’ remains available for the forthcoming 2015/16 tax year.
If businesses want to continue to claim it, there will be no need to apply the ‘Yes’ marker on their EPS ‘Employment Payment Summary’ as this will automatically roll forward.
However, if the business forgot to make a claim for the 2014/15 ‘Employment Allowance’ & they still meet the relevant criteria, then they have four years after the end of the tax year in which the allowance applies to make a claim. For example, if a business wants to make an ‘Employment Allowance’ claim for the 2014/15 tax year, then they will have until 5 April 2019 to do so. The claim is essentially a correction to the previous ‘Employment Payment Summary’ submission for that year, so a business can send in a revised EPS return with the correct ‘Yes’ marker applied for the tax year they wish to claim for.
Another aspect of the ‘Employment Allowance’ scheme would be that if a business had more than one PAYE scheme & was unable to utilise all of the £2,000 allowance available against their nominated PAYE scheme, then they can apply to HMRC for a repayment of any unutilised balances. The unutilised balance will be the lesser of £2,000 or the total Employers’ National Insurance for all their associated PAYE schemes, less the allowance already given against their chosen scheme.
For more information on the above &/or our Payroll services we provide, please visit our Payroll Bureau services page.
If you require assistance with obtaining a refund from HMRC regarding the ‘National Insurance Employment Allowance’ &/or to check eligibility if you can make the claim for the allowance in the first instance then please contact us & we’ll be happy to help…
Please note that Emerald Accountants Limited shall not be liable for any loss or damage arising out of the use of any of the information disclosed in this article…