My client is running a club. He pools the tips, service chrge and gratuties and then distribute amongst the employees. Above that wages for employees are paid separately. As per my client request, I have set up a Tronc Scheme, which was quite complicated.
For those who does not know about this scheme, please follow the link to grasp an idea.
http://www.hmrc.gov.uk/helpsheets/e24.pdf
My problem at present is
Do we need to file two P35?
Do we need to issue P60s separately?
Is it mandatory to operate two PAYE reference? ( Wages and Servic and Tips)
To be honest, HMRC gave me an vague answers. I was so confused.
Please let me know the mechanisms if you have handled before.
I hope either banks or businesses do not know much about this scheme
I met with a new client today who is an employee in one of these schemes, he has received 2 sets of payslips and 2 P60's, so I assume his employer has filed 2 P35's!