Brexit, almost inevitably, has put the brakes on several HMRC projects. This piece of news has been flagged up pretty extensively this week. Reaction to it seems to be along the lines of : no real surprise… HMRC overstretching on scale…. goes to show MTD won’t be with us for a long time yet. That sort of thing.
Projects pushed to the back burner because of the new priorities created by the UK’s EU exit are simple assessment for income tax, real time changes to PAYE tax codes (dynamic coding) and MTD for individuals.
The Association of Taxation Technicians (ATT) welcomes tax boss Jon Thompson’s strategic shift. It hopes that HMRC will use this time to solve problems with these projects.
Changes will result from Brexit
Yvette Nunn, of ATT’s technical steering group, says: “Given the unprecedented changes which will result from Brexit, it is only sensible that HMRC seek to reprioritise their work.
“Two projects which have been paused – Simple Assessment and dynamic coding – have caused problems to date which still need to be addressed. There have been reports of inaccuracies in the information which HMRC have used in simple assessments to calculate tax bills.
“As a result, taxpayers are required to check these carefully once received, especially as they only have 60 days to correct any errors.
“Dynamic coding has caused some employees who have been paid a bonus early in the tax year, or who have uneven earnings, to receive an incorrect tax code which can lead to a tax overpayment.
“While we welcome the pause to these projects, we strongly urge HMRC to use the extra time given to iron out the known problems with Simple Assessment and dynamic coding before they hit play on them again.” Quite.
IRIS buys Star Computers
UK software group IRIS Software Group, the UK’s business critical software bought Star Computers, a leading provider of payroll software to bureaus and businesses.
Star joins the IRIS Human Capital Management (HCM) Division, which provides IRIS payroll & HR for groups with large and complex payroll requirements. IRIS says the acquisition extends its reach to offer payroll and HR solutions to a wider audience.
Star’s payroll solution, Star Payroll Professional is used by more than 75,000 groups including half the top 100 UK accountants. It delivers more than a million payslips a month.
Service every business in the UK
Oliver Shaw, CEO of IRIS HCM, says: “IRIS delivers 2,500,000 payslips every month to the UK workforce. We’re delighted to be able to reach and positively affect 1,000,000 more UK employees through the acquisition of Star Computers.”
Kevin Dady, CEO of IRIS Software Group, adds: “Star Computers is a well-established provider of payroll software and offers an exciting opportunity for us to expand our HCM portfolio. With this acquisition, we’re able to meet the most demanding needs of customers across the UK with an industry leading product set and further extend our ability to service every business in the UK.”
Bernard Skalla, CEO of Star, comments: “Like Star, IRIS … has built an excellent reputation in delivering great payroll solutions to its customers for many years. We’re delighted to join the IRIS team and look forward to extending the offerings available for our loyal customers into the future. IRIS HCM is clearly very well placed to support and aid our continued success.”