Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
If a client had a gross salary for tax year 11/12 of £35,000. then,
- she was to on Maternity leave on January 2012 - In the First 3 months of maternity leave (Feb, Mar, April) she receives 100% of her gross salary - for the remaining 9 months of the year upto January 2013 - she is to receive 50% of her gross salary - No other benefits or income
Based on the above, will she not be paying lower tax in 12/13 as she is effectivley earning 50% of £35,000
you asked about the personal allowance which will not change from £8105 (or for 11//12 that would have been £7475).
All that is changing is the amount that she is paid, not the allowance.
The Actual entitlement (not necessarily what is paid by the employer) is (taken from the HMRC site) :
For the first six weeks you must pay your employee SMP at the rate of 90 per cent of their average weekly earnings.
For the next 33 weeks you must pay them the lower of the following:
£135.45 - from 1 April 2012 90 per cent of their average weekly earnings
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
