People2.0 UK’s Post

🚨 Alert: Ghost Payroll Schemes Threaten Recruitment Industry Our own Matt Fryer, Managing Director of Brookson Group, a People2.0 company, weighs in on this critical issue: "Both contractors and recruiters should be on their guard to avoid getting involved in a supply chain involving one of these tax avoidance schemes as they could be storing up a big tax bill and reputational damage further down the line." Read the full article to learn about: Types of ghost payroll schemes Red flags to watch out for Potential consequences for agencies and contractors Steps to protect your business Stay informed, stay compliant. Read more: https://hubs.ly/Q02K-G-Q0 #RecruitmentIndustry #PayrollCompliance #WorkforceManagement

Is the bubble about to burst for the Payroll Advisory Service Providers? As the penalties for employers explodes so has the number of a new Payroll Advisory service. Most of these service providers are highly experienced payroll managers who love the industry. They help those employers who do not have the skills internally and are often called in to assist in remediation exercises. Now if any of these Payroll Advisory Services review PAYG or Superannuation, they are legally required to hold a Payroll / BAS Agent licence / number. Unfortunately, in many instances these businesses do not. I have been advocating for these service providers to get their agent licence and have helped several down the path to registration. Unfortunately a massive roadblock has just been thrown in the way by Tax Practitioners Board in the form of a new Code of Professional Conduct. This will require any agent to dob in an employer they may work with, where they become aware a false statement has been made to the Tax Commissioner or any other Australian Government Service. Now remember, each time you lodge STP you are making a statement to the Tax Commissioner. This means that if a Registered Payroll Advisory service finds a problem and the employer refuses to action the advice, then they would be required to dob the employer into the ATO. So would will employers engage someone where they could be dobed in if they disagree with the Advisory services or will they choose to engage someone who is operating illegally. Either way its going backwards. Links in the comments to: - the changed Code of Professional Conduct and - the BAS services as defined in the Tax Agent Services Act 2009 #Payroll #PayrollAU #Agent #

Is the agency that you work with able to offer an amazing rate compared to its competitors? Have you asked yourself how or why and could it leave you the end hirer in trouble? The agency is probably using a payroll method which could end up leaving you liable, I know in South Wales alone there are a few out there. Interesting article attached, have a read and ask is your agency partner using one of these methods. https://lnkd.in/eaqR9nfX

IRS Rolls Out New ERC Claims Resolution Process for Third-Party Payers and Payroll Companies: The IRS announced a new supplemental claims process by which third-party payers (TPPs) and payroll companies may correct erroneously filed employee retention credit (ERC) claims filed prior to 1/31/24. To qualify for the supplemental claims process, the TPP must have filed one or more claims aggregating ERCs for itself and/or clients using the TPP's Employer Identification Number and made the claim(s) on an adjusted employment tax return. Claims submitted under this process cannot have already been processed by the IRS. This process allows TPPs to withdraw only some clients' claims, without withdrawing the claims of qualifying clients. Supplemental claims must be filed by the end of the day on 11/22/24 and must be submitted to a dedicated fax line at (855) 782-2161. The IRS will review the supplemental claim for completeness before determining if it will be accepted as filed, partially allowed/disallowed, or if the supplemental claim needs additional review or examination. News Release IR 2024-246.

🚨 Wage Theft: A Growing Threat to Businesses 🚨   The Victorian government’s heightened scrutiny on wage underpayments and payroll tax liabilities is signalling a clear warning to businesses: compliance is no longer just a regulatory checkbox - it's an operational necessity. With constantly shifting payroll tax regulations and intricate award systems, businesses face mounting risks of costly non-compliance. For SMEs and larger enterprises alike, ensuring accurate, compliant payments has never been more critical 📊.   🔥 The stakes are higher than ever. Under the Fair Work Amendment (Closing Loopholes) Act 2023, wage theft - including underpayments - will be officially classified as a criminal offense in Australia starting from January 2025. Businesses that intentionally underpay workers could face severe penalties, including hefty fines and potential imprisonment for individuals and businesses if found guilty. This escalating legal pressure demands a proactive approach to compliance.   ✨ Enter EdWard ✨ - a cutting-edge digital co-pilot designed to overlay your existing payroll and HR systems. EdWard is the result of Imminently’s successful feasibility study under the BRII (Business Research and Innovation Initiative) challenge, and is designed to meet this exact challenge.   EdWard is designed to integrate seamlessly with the tools businesses already rely on, offering a significant advantage: there’s no need to overhaul current processes. Instead, EdWard enhances these systems, intelligently navigating complex awards, enterprise agreements, and payroll tax regulations. This means businesses are constantly nudged toward compliance in real-time.   By acting as an intelligent overlay, EdWard simplifies the compliance process, automating wage, entitlement, and payroll tax calculations, and ensuring businesses remain compliant with evolving regulations. This not only saves time but also minimises the risk of human error and reduces dependency on expensive external advisors.   ✅ With EdWard, compliance becomes seamless, efficient, and proactive. Think of it as having a payroll expert guiding you 24/7, ensuring your business stays ahead of regulatory risks while focusing on growth and operational success.   Now is the time to embrace technology that simplifies complexity. Let EdWard shoulder the burden of compliance, so you can focus on what truly matters: growth and success 🚀.   📧 Contact us for an obligation-free demonstration and see how EdWard can become your strategic partner in payroll compliance.   Stay tuned 🔔 as we bring EdWard to market in the coming months - more exciting updates and details to come! #WageTheft #PayrollCompliance #EdWard #Automation #SMEs #DigitalTransformation #ComplianceManagement #FutureofWork 📖 Read more on Victorian payroll tax and underpayments: https://lnkd.in/gd_MieBM

Anyone else tracking the increase to payroll tax in the ACT from 1 July 2024? We wonder why Canberra has a hard time attracting business and keeping our talent here. Elizabeth Lee MLA keen to see your views on why the Barr government thinks ACT based large businesses need an additional hit. I thought we should be attracting these large businesses to Canberra to help our tax revenue, generate jobs outside of the wage capped APS and help people have employment options? https://lnkd.in/gEsYMZPC

1099 or Employee? A Hiring Guide for U.S. Businesses Choosing between hiring a 1099 independent contractor or a W-2 employee is crucial for any business. The distinction isn’t just about payroll—your choice affects compliance, taxes, and your business’s long-term stability. Here’s a quick guide to understanding the basics of each classification. https://lnkd.in/g9VCztyn

1099 or Employee? A Hiring Guide for U.S. Businesses Choosing between hiring a 1099 independent contractor or a W-2 employee is crucial for any business. The distinction isn’t just about payroll—your choice affects compliance, taxes, and your business’s long-term stability. Here’s a quick guide to understanding the basics of each classification. https://lnkd.in/gFHRKKUy

The Real Cost of Payroll Non-Compliance: A Guide for SMBs For small and medium-sized businesses (SMBs), payroll and employment tax compliance can feel overwhelming, with complex regulations that are continually changing. Non-compliance may seem minor at first, but it can lead to severe consequences, including financial penalties, legal fees, and reputational damage. At FinTeam One, we empower SMBs to manage compliance proactively, avoiding costly mistakes. Here’s why staying compliant matters, the risks involved, and how our solutions can help. Why Compliance Matters for SMBs Compliance in payroll and employment tax goes beyond legal requirements; it reflects trust and professionalism. Payroll compliance ensures accurate, timely employee pay, protects against regulatory penalties, and strengthens relationships with both employees and clients. This is critical for long-term growth and credibility. The Hidden Costs of Non-Compliance Financial Penalties and Accrued Interest Non-compliance can lead to costly fines. For example, failing to deposit taxes on time may incur penalties that accumulate quickly. One of our clients, a construction company, faced $20,000 in fines due to overlooked local tax filings. We guided them in revamping their processes, preventing future penalties. Legal and Compliance Costs Non-compliance can result in costly lawsuits, diverting funds away from growth. A hospitality client faced potential legal challenges due to employee misclassification. After we stepped in, they restructured their payroll practices, avoiding a costly legal battle. Reputational Damage Payroll mistakes can undermine employee trust, leading to turnover and a tarnished public image. One retail client struggled with payroll accuracy, leading to employee dissatisfaction. With our help, they implemented an automated payroll system, restoring trust and reducing turnover. Operational Inefficiency The time required to resolve compliance issues drains resources and shifts focus from core business activities. Read more at finteam.one #PayrollCompliance #FinTeamOne #RiskManagement #SMBSuccess

The South African Revenue Service intensified its focus on PAYE compliance, marking it as a priority in the 2023/24 Annual Report and reiterating its commitment to stricter oversight of employer tax responsibilities. #southafrica #paye #sars #compliance #payecompliance #audits #employers #payroll