Back in April, we posted a blog surrounding NHS workers being targeted by tax avoidance promoters and it does not stop there.
News surrounding tax avoidance schemes are still circulating outside of the NHS services. HMRC have shared information surrounding the schemes and what to look out for. Information can be found here
Most umbrella companies are compliant with tax rules. However, there are some promoters of tax avoidance schemes using comparison and broker websites, as well as direct telephone calls, to introduce people to umbrella companies not abiding by the tax rules.
Comparison websites often act as brokers to help people find a suitable umbrella company. They rank and rate the companies based on customer service and fees charged.
One attraction of people using umbrella companies could be claims that they can have higher take home pay.
Agencies should conduct due diligence checks on their payroll providers to ensure the services are compliant within HMRC guidelines, to prevent penalties to the workforce who utilise these schemes.
BBC radio 4 have released a broadcast surrounding tax avoidance schemes and the impact it has to contractors since the loan charge came into effect. We urge anyone who using these schemes or is concerned they might be subject to tax avoidance to listen the broadcast here
The harsh reality of the detrimental impact these schemes have caused is portrayed in this broadcast. Which leads us to the question, ‘is it really worth it?’ The answer is NO, not only are these scheme non-compliant but the unnecessary stress and worry it causes to people’s lives when HMRC catch up with them is not worth it.
Most agencies will only use providers who have accreditations such as FCSA and Professional Passport, which involve a compliancy audit on the operations of the services and how payroll is processed.
We are one of many accredited payroll providers, however, as always we like to go above and beyond and currently hold a PAS accreditation, The Payroll Assurance Scheme is the prestigious gold standard for both people and payroll processes and is a much-coveted award in the payroll industry. As the only voluntary accreditation on the market to be developed in partnership with HMRC.
To find out more about our accreditations or to discuss our compliant payroll services call us today on 01252 863700 or email info@epayme.co.uk