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• # 80790
• Tue 13 Mar 2012 01:43 PM

Hi

Can anyone advise me whether I need to complete MLR forms for a new payroll client?  I have read the MLR documentation and it seems to me that MLR rules may not apply to payroll clients because the only money transactions you are dealing with are employee payments.

Does anyone know the answer?

Many thanks 

• Debbie
  www.beckcottage.com
  
  

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• # 80809
• Tue 13 Mar 2012 04:15 PM

Hi Debbie,

Personally I have no idea as to the rules of MLR and payroll, I do MLR on all clients regardless of the work I do for them. I've found that you start by offering a client one aspect of bookkeeping and then it builds to other types of work - so at least I know I'm covered.  

I'd assume that MLR is needed.  Payroll involves money transfers from your client to their employees and the HMRC, but the money that is transfered must have originated from somewhere.  The due diligence required for MLR would (I assume) help to cover you if it turns out that the money doesn't originate where you think it does.

I suggest that you phone the ICB technical helpline, who will be able to give a difinitive answer.

Lucy 

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• # 80828
• Tue 13 Mar 2012 09:04 PM

Hi Lucy

Thanks for your advice - I'll check directly with the ICB but I guess to include all clients, whether bookeeping ones or not, would be a safe practice anyway.

Thanks for answering. 

• Debbie
  www.beckcottage.com
  
  

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• # 80904
• Thu 15 Mar 2012 09:56 PM

Hi Debbie,

You may have called the ICB by now, but I have quite a few payroll only clients and I was told I had to comply with MLR for each of them.

hth
Tony. 

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