Private practice

KEY POINTS

• Contract for services.
• Threefold test.
• Use of equipment.
• Implications for other professionals.

Most tax disputes regarding self-employment and employment concern either IT contractors or individuals in the construction industry.

However the appeal in Ian Mitchell (TC1041) heard by the First-tier Tribunal and reported in Taxation was both unusual and interesting.

Ian Mitchell is a consultant cardiac surgeon and the case concerned his valued assistant at private operations Dr Bhimagunta whom HMRC contended was an employee of Mr Mitchell leading to potential liabilities under PAYE and National Insurance.

The facts

Mr Mitchell who is an FRCS is no doubt an experienced surgeon and expert in cardiac surgery.

He...