The Compliance Checklist for Fee Payers
Top 5 Risks of Non-Compliant Contractor Payments and How to Avoid Them
As the fee payer for contractors, your responsibilities extend beyond simply processing payments. Missteps in managing contractor payments—especially under IR35 regulations—can lead to severe consequences for your business. From financial penalties to reputational harm, understanding these risks is the first step toward safeguarding your operations. What is the Fee Payer, and Could It Be You? […]
Reflecting on 2024: Key Changes in Employment Legislation and Preparing for 2025
Businesses have had to navigate significant updates in employment law and tax regulations. From the critical Off-Payroll Off-Set changes to the broader implications of the Employment Rights Bill and shifts in compliance expectations, this year marked a turning point. As we move into 2025, companies must adapt and prepare for the evolving regulatory landscape. Off-Payroll: […]
HMRC’s Hiring Surge: 5,000 New IR35 Investigators
In line with the government’s commitment to crack down on tax evasion and ensure compliance with UK tax laws, HMRC is set to hire 5,000 new investigators throughout the current government term. This significant recruitment drive, aimed at strengthening the HMRC’s investigative arm, will play a key role in identifying, investigating, and penalising tax fraud […]
Brookson Legal Responds to PGMOL vs HMRC: Supreme Court Sends IR35 Case Back to Tribunal
In a crucial decision, the Supreme Court has remitted the long-running case between Professional Game Match Officials Limited (PGMOL) and HM Revenue & Customs (HMRC) back to the Upper Tribunal for further consideration. The case, which centres around the employment status of football referees under the IR35 tax legislation, marks a pivotal moment for businesses […]
Supreme Court’s Landmark Ruling on Employment Status of PGMOL Part-Time Football Referees: A Closer Look at Mutuality of Obligations and Control
The long-awaited judgment from the Supreme Court on the employment status for tax purposes of part-time football referees in the Professional Game Match Officials Limited’s (PGMOL) appeal against HMRC was published on 16th September 2024. The Supreme Court ratified the Court of Appeal’s conclusion on mutuality of obligations and control, which are key considerations when […]
Understanding the Supply Chain Risk for End Hirers whilst highlighting the Benefits of a Compliant Fee Payer Mechanism
In today’s complex labour market, end hirers must navigate various risks associated with their supply chains, particularly when engaging contractors. One of the critical elements in this process is the role of the fee payer. Understanding the responsibilities and risks associated with being a fee payer, and implementing a compliant mechanism, can significantly reduce potential […]
Concerns about using the CEST Tool
In recent years, many businesses have increasingly relied on the CEST (Check Employment Status for Tax) tool to determine the IR35 status of their contractors. While the CEST tool might seem like a convenient and straightforward solution, there are significant reasons why it should not be used as the primary method for IR35 assessments: Significant […]
Ensuring IR35 Compliance: Risk that your business needs to be aware of
One of the most crucial aspects of maintaining IR35 compliance is ensuring that your business takes direct responsibility for its processes. Outsourcing IR35 compliance to agencies or workers does not demonstrate reasonable care and places your business at substantial risk. If HMRC questions your IR35 process, stating that you delegate this responsibility and merely sign […]
Understanding the IR35 Changes: A Guide for end-hirers
As of April 6th, 2024, significant changes to the off-payroll (“IR35”) legislation have come into effect, reshaping the landscape for contractors and clients alike. Pre-April 2024 Challenges: Before these changes, HMRC’s ability to challenge Outside IR35 determinations posed significant risks for recruiters and end clients. If HMRC successfully challenged an outside IR35 determination, clients could […]