The draft Finance Bill has proposed more measures to tackle false self-employment. Andrew Goodall reports.
HMRC is consulting on legislation to prevent the use of ‘onshore employment intermediaries’ to avoid 13.8% employer’s NIC and reduce costs associated with employment rights such as sick pay and pension contributions. Comments are invited on draft Finance Bill 2014 provisions and draft changes to NIC regulations on the categorisation of earners.
A ‘simple’ change to ITEPA 2003 s 44 (treatment of workers supplied by agencies) is proposed. The use of intermediaries ‘to facilitate false self-employment’ started in the construction industry HMRC said in the consultation paper issued on 10 December. ‘However this type of avoidance facilitated through intermediaries is now widespread in a number of other sectors including driving catering and the...
