Issue 38 of HMRC's Employer Bulletin is now available. Aimed at Employers and Agents it contains important information and news about topics affecting the operation of payroll.

The current edition includes a summary of Budget announcements relevant to employers, a feature on HMRC's new Basic PAYE Tools (formerly the Employer CD-ROM) and details of where employers and employees can find tax and NICs calculators on HMRC's website.

The Bulletin also includes a reminder that Extra Statutory Concession B46 was withdrawn from 31 March 2011 and thus there is no longer a 7 day grace period for late filing of corporation tax and P35 returns to ensure penalties are not be charged.

As many readers will be aware, a limited company can offset CIS Deductions suffered as subcontractors against their monthly liability to pay PAYE deductions to HMRC. In some instances, companies who do not have employees and do not need to operate PAYE but suffer CIS Deductions are still required to submit a P35 employer annual return with an entry in box 28 (‘CIS deductions suffered’), even if there are no other entries on the form.

From this year the Bulletin confirms that limited companies filing such a return will be able to file these returns online. To do this the limited company subcontractor will need to register online for PAYE.

To read the Bulletin in full visit http://www.hmrc.gov.uk/paye/employer-bulletin/bulletin38.pdf