KEY POINTS
- No statutory justification for the service company question.
- Electronic form cannot be submitted without answering it.
- HMRC claim it is to help their ‘processing’.
- However it is acceptable to simply answer ‘no’.
Readers will recall that I wrote to HMRC in March raising questions about the lawfulness of the annual returns (P35s) which employers are required to file in the coming weeks.
The focus of my complaint was question 6 ‘Are you a service company?’ I argued that under the PAYE regulations the question is not one that is required to be answered.
Despite this however the electronic P35 on the HMRC website cannot be submitted without the question being answered either ‘Yes’ or ‘No’.
I have now received an HMRC response from the...
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