To All PAYdata Users

March 2008

The NI Tables change on 6th April, 2008.

The Tax Table change on 6th April 2008.

The purpose of this document is to describe the amendments you, the user, are required to make to the tables held in your computer system. Read the notes at the end of this document before proceeding. For completeness, both Tax and NI tables are presented.

Timing

The NI Tables & Tax Tables must be amended before the first payroll run is processed for tax year 2008-2009, after the last run for tax year 2008-2009 and after the year end has been processed.

Computer Tax Tables

Code changes are notified to you by the Tax Office, forms P6(T) and P9(X). These block changes can be implemented using "Automatic Update of Tax Codes", option 7 on the Utilities Menu. Note that this is applied to ALL payrolls on the system. There is a block change to L codes, refer to P9X(2008) which is on your Employer’s CD-ROM if you do not get a printed version.

Table Amendment Options

Dos/UNIX These are to be found in the section "Access Tax, NI & SSP Tables" on the "Utilities Menu". The "Utilities Menu" is accessed by selecting "S" on the "Main Menu".

Windows These are to be found in the Maintenance Section, "PAYE Parameters" and "NI & SSP Parameters"

The following sections correspond to those on the "Tables menu". All values on all screens are shown for the various tables. Those items which are highlighted in bold are the ones which require amendment. However, it is advisable to check all the values.

1. PAYE Parameters

Screen 1

  Non-Scottish Scottish
No. of  Tax Rates 3 0
Rate 1 10% 0
Rate 2 20% 0
Rate 3 40% 0
Rate 4 0 0
Rate 5 0 0
Rate 6 0 0
Rate 7 0 0
Rate 8 0 0
Rate9 0 0

The Figures in bold require changes.

Screen 2

TAX BAND Parameters

  Non-Scottish Scottish Scottish
Number of Tax Bands 0
  Cum. Bands  Cum. Annual Tax  Cum. Bands  Cum Annual Tax
Band 1  0.00 0.00 0 0
Band 2  34600.00 6920.00 0 0
Band 3 0 0 0 0
Band 4 0 0 0 0
band 5 0 0 0 0
Band 6 0 0 0 0
Band 7 0 0 0 0
Band 8 0 0 0 0
Band 9 0 0 0 0

The Figures in bold require changes.

Screen 3

TAX Pointers

Non-Scottish ‘G’ Pointer  2
Scottish ‘G’ Pointer  0
Over-riding Limit %age (K codes only) 50.0%
Max. Tax Code covered by Tables 500
Student Loans Repayments - Threshold  15000
Student Loans Repayments - Rate  9%
Date PAYE parameters last changed officially 06/04/2008

The Figures in bold require changes.

2. National Insurance & SSP Parameters

Screen 1

Earnings Limits & Thresholds 

Lower Earning Limit - Yearly  4680.00
Upper Earning Limit - Yearly  40040.00
Earnings Threshold - Yearly  5435.00

The Figures in bold require changes.

Screen 2

Percentage Rates

EE’s Not Contracted Out Rate  11.00

EE’s Contracted Out Rate 

9.40

EE’s Reduced Rate 

4.85
EE's Deferred Rate 1.00
EE's Over UEL Rate 1.00
ER’s Rate 12.80
ER’s Rebate for COSR Schemes - (LEL ÿ ET) 3.7
ER’s Rebate for COMP Schemes - (LEL ÿ ET)  1.40
EE’s Rebate for COSR Schemes - (LEL ÿ ET)  1.60
EE’s Rebate for COMP Schemes - (LEL ÿ ET)  1.60

No changes.

Screen 3

Statutory Sick Pay Parameters

Average Weekly Earnings  Weekly Rate of SSP
90.00 75.40
   
SSP Recovery Rate Percentage 0
SMP Recovery Rate Percentage 92       *
SPP Recovery Rate Percentage 92       *
SAP Recovery Rate Percentage 92       *
Date NI/SSP Parameters last amended  06/04/2008

The Figures in bold require changes.

 * This can be 100% if the employer qualifies for Small Employers Relief.

DISCLAIMER & NOTES

1. No responsibility can be accepted by FARMdata Limited for errors in the calculation of Income Tax or National Insurance deductions arising out of User's failure to maintain their computer tables properly. Neither can FARMdata Limited accept responsibility for errors arising from User's failure to implement program updates or previous payroll parameter changes at the designated times. As Employers, users receive official notification directly from the Inland Revenue of Statutory Payroll changes. These are your alerts that table changes are required in your payroll system.

2. Some of the above changes may be subject to Parliamentary Approval and Royal Assent. Confirmation of the rates will appear in the relevant contribution tables that all employers will receive before the changes come into effect.