The private sector IR35 reform proposal threatens to expose clients to the new corporate criminal evasion offence if they fail to ensure PSCs pay the "right amount" of tax, a law firm is warning.Assuming the much-disliked IR35 reform plan is adopted, the September 2017 offence could catch engagers if the contractor is found evading tax, as opposed to avoiding it, cautioned Pinsent Masons.So rather than just simply applying a liberal interpretation of IR35 case law, the contractor could … [Read more...]
If it sounds too good to be true, it usually is
Public sector nurses and social workers who have been encouraged by recruitment agencies to take their wages through suspected tax avoidance schemes are now in debt of tens of thousands of pounds following HMRC investigations.Employment agencies have been taking business from rivals by allowing workers to be paid through umbrella companies offering between an 80-90% take home pay.These tax schemes, which are usually registered in places like the Isle of Man or Malta, attract workers due … [Read more...]
Don’t settle for expecting the unexpected
With hundreds of provider’s advertising their wares within the Umbrella Payroll market space it is difficult for a contractor to compare all of the different figures that they are provided. Finding the right Umbrella Company is important as these will be the companies that ensure that a contractor is paid accurately and on time. Since the implementation of the IR35 changes in April 2017, the main grievance from contractors who have had to utilise an Umbrella Company’s services, has been that not … [Read more...]
Thousands of workers are suffering incorrect Tax thanks to IR35
Thousands of employees working within the public sector are potentially being taxed incorrectly in an ongoing fiasco surrounding their IR35.IR35 has always been a tricky piece of regulation, and it seems like it's not getting any easier to manage with time. Serious questions over the accuracy of the Check Employment Status for Tax (CEST) tool are only being underlined by courtroom defeats for HMRC over status challenges. Meanwhile, confusion over the rules has contributed to an 8% … [Read more...]
Consultants taking incentives, be warned: HMRC are coming for you!
Last week we shared important information surrounding incentives given to recruitment consultants https://www.epayme.co.uk/your-provider-may-giveth-but-hmrc-may-taketh-away/FCSA have recently published information regarding the HM Revenue & Customs investigating recruitment consultants, and made the following statement ‘Recruitment agencies please beware! Last week some recruitment consultants starting receiving bills from HMRC for unpaid tax on incentive payments. It seems that the … [Read more...]
Just when I thought I was OUT, they pull me back in
With ongoing research by many commentators showing that contractor’s confidence in HMRC’s IR35 CEST (Check Employment Status Test) tool is low, questions are now turning to whether the tool is now even fit for purpose. This is especially prevalent with the governments supposed determination to implement these changes to the private sector.The CEST tool is used by contractors’ and Public Sector Authorities to accurately assess and determine an engagement’s IR35 status. Provided the … [Read more...]
To Prefer or not To Prefer…. That is the question
Whilst many Recruitment Agencies utilise a Preferred Supplier List (PSL) of umbrella companies and contractor accountants, how sure can stakeholders of an agency be that this is being enforced by their workforce?Unfortunately, not everyone plays fair and with the introduction of various pieces of legislation in the past few years, the need for an agency and its directors to protect itself has never been greater. The new Criminal Finance Act especially includes the corporate offence which … [Read more...]
Your Provider May Giveth but HMRC May Taketh Away!
Only last week we heard that several recruitment consultants had received tax demands from HMRC relating to unpaid tax on incentive payments received from one or more umbrella companies. If recruitment agency staff accept monies, vouchers and other types of benefit from umbrella providers, they should be declaring this as taxable income.The Government is taking this issue seriously and the actions being taken within the next two years will highlight not just taxation but also the UK’s … [Read more...]
‘Brave’ contractor MDCM Ltd wins IR35 appeal
A brave limited company contractor has won his IR35 appeal, overcoming three status factors that went against him and giving HMRC a red-face in the process.Mark Daniels, who fought HMRC alone in an era of it using barristers, even got helped to his win by HMRC, despite Financial Risk, Substitution and MOO going in its favour.But on Control, HMRC was forced to withdraw its submission against Daniels, director of MDCM Ltd, during the hearing and once tax officials had heard oral evidence … [Read more...]
ePayMe has been recognised as 1 of the top 1,000 UK companies to inspire Britain!
We are very proud to be recognised as one of the top 1,000 companies in the UK. The recruitment industry continues to inspire Britain in London Stock Exchange's 2017 report. The London Stock Exchange Group has released its 1,000 Companies to Inspire Britain report.To be selected for the list, businesses must demonstrate not only positive growth in revenue, but also significantly outperform their sector peers.ePayMe is one of just a handful of providers in our sector listed in this … [Read more...]