Non Tax Paying Students

[tikki]

I'm new to the Payroll package. (QB 2003 Basic + Payroll)
We have several student employees who do not have to pay tax.
If I leave the tax code out, I can't pay them.
If I use the emergency tax code, then tax is deducted.
How can I pay without deduction of Tax?

Any help much appreciated


Thanks


Tikki

[RobJoy]

Why not simply pay them by cheque as 'Casual labour' without using the payroll package at all?

Ok, I know, you want the figures in the payroll expenses along with all the rest, but it's the best I can think of at the moment.

Do the beloved Inland Revenue have anything to suggest? (They don't charge for support calls, unlike certain software companies we could mention!)

[Fizz]

I don't use QB payroll, but there is a proper code for students etc that do not pay tax - it is "NT". Try putting this in - if QB is properly programmed it will give you the right result.
Incidentally, if you want to use a NT code, you must get your students to fill in a form P38S, to confirm their status. Otherwise you could find yourself in a problem.

[tikki]

Thanks Fizzz

'NT' worked a treat!

They have all completed P38s for the coming year so I should be covered!

Thanks again

tikki