The primary Class 1 NI threshold will increase on 6 July. If you use HMRC’s Basic PAYE Tools, how can you ensure the change is reflected in your processing?
The Spring Statement included the announcement that the government was increasing the primary Class 1 NI threshold to £12,570. However, the change is convoluted as it will only take place from 6 July, meaning that the first three months of the payroll year had a lower (£9,880) threshold in place. We are just over a week away from the change date. If you use third-party software to operate your PAYE each month, your provider should have given you information on how to update your software to enact the increase. However, if you use HMRC’s Basic PAYE Tools (suitable for small employers, but not accountants), you will need to remember to download the updated version on or after 6 July. The correct version will be 22.1 and will be available here.
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