I look after a customer who runs a couple of restaurants, both of which run proper Payroll processes. I did however receive a pile of invoices on Friday which included what was clearly a food order receipt book page with the words 'KP Wages' £10 on it.
I havent been able to speak to anyone about this yet as no-one was around when I found it, but also wanted to get my facts right about such practices. I have no idea who this Kitchen Porter is/exists in the first place and if this will be repeated.
Whilst it is 'only' £10 this time, Im worried that the practice may continue and be for higher amounts. Even if they remain that small I wouldve though that matters would need to go through the proper process ie through the payroll.
Can anyone advise please
__________________
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
Either the kitchen porter is employed or he is self-employed. If he is not on the payroll then we have to assume his is self-employed. If this is the case then he will be responsible for his own tax and NI and will (or should) be declaring it on his self-assessment. I think you will need to establish with the client whether he is employed or self-employed. If he has used the word "wages" in the receipt book then it would seem that he is employed and needs to be on the payroll, even if he is only earning £10.
Hi Pauline
Thanks for this - I think he is either employed or perhaps doesnt even exist and a member of staff has done some extra work they want paying under the counter for! I will shine the lamp tomorrow to find out!
__________________
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
