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Gig economy review needs a tax inspection

30 May 2017
Issue: 4601 / Categories: News , Admin

The Low Incomes Tax Reform Group (LITRG) has urged the Taylor review of employment practices to assess the relationship between taxation and the growth in non-standard work, such as people working in the ‘gig economy’.

Although taxation is not expressly within the terms of reference of the review, which is focusing on employment law and practice, LITRG believes that it will be hard to understand the impact modern employment practices have on a worker’s security, pay and rights without considering tax issues.

The Low Incomes Tax Reform Group (LITRG) has urged the Taylor review of employment practices to assess the relationship between taxation and the growth in non-standard work such as people working in the ‘gig economy’.

Although taxation is not expressly within the terms of reference of the review which is focusing on employment law and practice LITRG believes that it will be hard to understand the impact modern employment practices have on a worker’s security pay and rights without considering tax issues.

Anne Fairpo chair of LITRG said: ‘The Taylor review should not be seen as a comprehensive review of employment practices because its terms of reference do not include tax.

‘In our view you cannot understand one without the other. We think that a comprehensive review of tax and related issues and non-standard work should be carried out as a matter of urgency...

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