Surgeon: whether an ‘employed earner’ liable to Class 1 NICs
In I Mitchell v HMRC (TC01041 – 11 April) a cardiac surgeon (M) arranged for another surgeon (B) to assist him during operations.
HMRC issued a ruling that B was an employee of M and that M was required to account for Class 1 NICs (and deduct income tax under PAYE).
The First-tier Tribunal allowed M’s appeal holding that B was not an employee and was working under a contract for services rather than a contract of service.
Why it matters: The First-tier reaffirmed the long-established distinction between a contract for services and a contract of services and held that the senior surgeon was not required to treat his colleague as an employee.
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Surgeon: whether an ‘employed earner’ liable to Class 1 NICs
In I Mitchell v HMRC (TC01041 – 11 April) a cardiac surgeon (M) arranged for another surgeon (B) to assist him during operations.
HMRC issued a ruling that B was an employee of M and that M was required to account for Class 1 NICs (and deduct income tax under PAYE).
The First-tier Tribunal allowed M’s appeal holding that B was not an employee and was working under a contract for services rather than a contract of service.
Why it matters: The First-tier reaffirmed the long-established distinction between a contract for services and a contract of services and held that the senior surgeon was not required to treat his colleague as an employee.
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
