In HMRC's eyes, is it a Contractor or an Employee?

June 1, 2017

For many years now the determination of whether someone engaged to provide services to a Company is actually an employee or not is a tricky area…get it wrong and the consequences could be costly. 

 

Just because you have a ‘Contract for Services’ it does not necessarily mean that HMRC would deem the relationship to be between two businesses, they may determine that the person providing the services is actually an employee. If HMRC considers the relationship to be that of employer and employee National Insurance and Holiday pay will become due, in addition to the ‘worker’ being entitled to other rights.

 

HMRC have developed an interactive tool that generates questions depending on the choices you select. HMRC says that it will stand by the result given, unless a compliance check finds the information provided to be inaccurate. We recommend you enter the details of the arrangement exactly as they are intended and keep a record of the result that the check provides. Both the worker and end client can complete the check. 

https://www.tax.service.gov.uk/check-employment-status-for-tax/setup

Share on Facebook
Share on Twitter
Please reload

Featured Posts
RSS Feed

Monday, March 5, 2018

Saturday, December 23, 2017

Friday, December 22, 2017

Wednesday, December 20, 2017

Tuesday, December 19, 2017

Saturday, December 16, 2017

Wednesday, December 13, 2017

Tuesday, December 12, 2017

Thursday, December 7, 2017

Wednesday, December 6, 2017

Sunday, December 3, 2017

Friday, December 1, 2017

Sunday, October 1, 2017

Sunday, October 1, 2017

Thursday, June 1, 2017

Please reload

Please reload

  • Facebook Social Icon
VA Accountancy is the trading name of VA Accountancy Ltd. Registered in England and Wales: 10131714. Director: V Aldridge.
Licenced and regulated by the Association of Accounting Technicians - Licence 1000821
VA Accountancy, Coldharbour Mill, Coldharbour, Uffculme, Cullompton Devon, EX15 3EE

© 2015 - 2019 VA Accountancy