Law Society warns over anti-avoidance measures
Spritebeam Ltd, Prowting Ltd & CRC v CRC & Versteegh Ltd, Upper Tribunal
S Price, J Myers, J Lucas v CRC, Upper Tribunal
HMRC have clarified their position on the new intermediary reporting requirements for umbrella company workers, following enquiries from the Association of Professional Staffing Companies (APSCo).
The taxman’s system requires intermediaries to select from a list the reason why PAYE has not been applied. There are six categories:
A. Self-employed B. Partnership C. Limited liability partnership D. Limited company E. Non-UK engagement F. Another party operated PAYE on the worker’s payments
A Savva & others v CRC, Upper Tribunal
Advisers must prepare for the challenges that lie ahead
Inside Track Productions LLP & others v CRC, Upper Tribunal (Tax and Chancery Chamber)
PAC also critical of reliefs cost data
Plan revived to tackle offshore evasion
Employment experts have accused HMRC of misleading businesses about the operating cost of IR35.
Statistics released by the department yesterday suggest UK firms spend an annual total of £16m on administrating the controversial anti-avoidance measure, which is aimed at ensuring freelancers working through their own limited companies pay income tax and National Insurance at a levels similar to those of regular employees.
Promoters of tax avoidance arrangements could be forced to publicise the fact they are monitored by HMRC, under new rules set to come into force later this month.
The FA 2014 (High Risk Promoters Prescribed Information) Regulations 2015 will allow the Revenue to issue conduct notices to scheme promoters identified by the department as high risk.
Parties that do not comply with directions to alter their behaviour will receive monitoring notices and be expected to make their circumstances clear to prospective customers.
How attitudes to avoidance have changed – and an adieu from the author