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Employees

HMRC have announced new fuel rates for company cars, which apply to all journeys on or after 1 March 2013 until further notice. For one month from the date of change, employers may use either the previous or new rates and therefore make or require supplementary payments, but they are under no obligation to do either. Petrol hybrid cars are treated as petrol cars for this purpose. The amounts can be used for VAT, but employers will need to retain receipts.

By Keith Gordon; £95; published by Bloomsbury Professional; paperback; fourth edition; 354 pages

GF Ballard (TC2505)

Termination payments: the basic rules relating to tax treatment, their common pitfalls and potential planning opportunities

Employers are facing costs of up to £30,000 to ensure their BACS software is fully compliant with real-time information (RTI) requirements for PAYE, according to a survey by information service Payroll Alliance and the Chartered Institute of Payroll Professionals.

The results show that 42% of respondents incurred fees to include the hash total in field seven of their BACs submission, which is required by HMRC to match a payment to RTI data. Of those paying for the upgrade, 39% spent between £1,000 to £4,999, while 8% paid £7,000 and £30,000.

An employee believed her employer was providing personal health insurance and the benefit of this was shown on forms P11D. Following a takeover, she has discovered that the policy was an insurance scheme that paid the employer in the event of her illness. Can a tax repayment be obtained?
A company, which requires extensive travelling by its employees, owns a helicopter. A director and 30% shareholder has the use of the 'copter, which is kept and maintained at a local airfield and is also used by a flying club there. The calculation of the director’s benefit in kind is reviewed
Don't fine employers until April 2014, CIOT tells HMRC

An employer has paid for the costs of overnight accommodation and subsistence for those employees who were unable to travel home in the extreme winter weather

But awareness is rising, claims business support body
A builder’s employees come by small amounts of scrap metal as a result of their work and sell it to fund their Christmas celebrations. During the year, the money is held in the bank account of one of the employees
Reform would see widening of agencies to include non-charities
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