short term helpers and PAYE

short term helpers and PAYE

Didn't find your answer?

my client will be taking on 15 people for 4 days to work on a fashion show . should these people be on  the payroll or will a contract for services suffice to exclude them. they will be paid about £150 for the 4 days work. I cant find the rules that i remember from old on HMRC site about number of days worked

Replies (2)

Please login or register to join the discussion.

Euan's picture
By Euan MacLennan
27th Jul 2013 16:00

You are probably thinking of ...

... this guidance in booklet E13, Day-to-day Payroll:

"Taking on a new employee – for one week or less
If the employee is going to work for you for one week or less:

do not complete a form P46take the following action, depending on what the circumstances are. If you are a farmer, first see the CWG2(2013) Employer Further Guide to PAYE and NICs, under ‘Farmers’.

Total pay in the week is equal to or more than the NICs Lower Earnings Limit*, and you know the employee has other employment.

Fill in a form P11.Deduct tax using code BR.Work out NICs due, see Part 3 on pages 9 to 14 of this helpbook.Issue a form P45 at date of leaving.

Total pay in the week is equal to, or more than the NICs Lower Earnings Limit*, and you do not know if the employee has other employment.

Fill in a form P11.Deduct tax using the emergency tax code on a week 1/month 1 basis.Work out NICs due.Issue a form P45 at date of leaving."

However, the pre-amble to the 2013/14 version of E13 states:

"This guide is intended for the very small number of employers who are exempt from the requirement to file their starter and leaver information and similar pension information online."

Unfortunately, the HMRC guidance under RTI is less accommodating:

"You must follow the same payroll procedures for temporary or casual employees as you do for your permanent employees. The length of their employment with you or the amount they are paid doesn’t make any difference to your payroll responsibilities."

So, the answer would appear to be Yes - you must operate PAYE in the usual way.

 

Thanks (0)
avatar
By carnmores
27th Jul 2013 16:13

@Euan

thanks that was what i was after OMG !!!

Thanks (0)