help with a snip?
Hi I have just taken on a new client who is a hairdresser. During 14-15 tax year he acted as a sole trader and from Sept 2014 through to end of that tax year (5 April 2015) he employed one person for 8 hours per week at £52.00 per week. His employee has today asked for a P60 (her accountant needs it, presumably for her own self-assessment) however as she was only earning £52 per week she didn't fall under PAYE requirements.
My queries:
A quick response for my first query would be very much appreciated.
Thanks
My queries:
- If this person was also employed elsewhere which, she apparently was, then does that change things in respect of PAYE reporting?
- The hairdresser isn't very tax / PAYE savvy which he readily admits however, what should I do in this situation?
- He has kept good manual records so we can work out what the employee earned during the year but has he fallen foul of the PAYE system by not registering?
- Is there such a thing as a manual P60 or could he just provide a spreadsheet summary of all the payments made in 14-15?
A quick response for my first query would be very much appreciated.
Thanks
Comments
re: (2) yes that was a bit scrambled! a bit like my mind at the moment, so much to think about during the tax return deadline run-in. arrrgghhh!
so to clarify, my plan of action should be:
(1) get the hairdresser to provide a statement of earnings to his employee with instruction to enter paye ref 000/N (googled it and you're correct!) on the self assessment form. Job done.
(2) get the hairdresser set up for PAYE asap after January tax returns. I'm assuming I have a duty to alert HMRC to the fact that he should have registered during 14-15?
once I've done (2) do you think would HMRC levy any penalties against my client?
any ideas on the 'tips' question?