Currently running payroll for a small company, two directors but only one is paid, approx £25,000.00 pa.
Under the current rules I cannot claim Employers NI Allowance, but if we were to pay the second Director a nominal amount, say £50.00 per month, would it then be claimable?
I thought it had to be more than just a sole director, I haven't seen anything about minimum wages, though obviously it has to be enough to hit employers ni originally
The HMRC guidance is that if there is only one director above the secondary threshold, employers allowance can't be claimed. If another director also earns more than £8112 then the allowance can be claimed.
Sorry for the one word answer. I pressed submit before I had finished typing and then couldnt get back on the old t'interweb! Anyway John has provided a link and as he says, the law differs from the HMRC interpretation of the guidance but its not been tested yet!
I cant seem to open the agent thingy - its saying my adobe needs updating so might try to take a look later, although Ive heard some wrong info given out in some webinars so be wary. Anyone else managed to listen that can advise how far in the comments were - interested to hear it!
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Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
