False Self Employment: Falling on Deaf Ears

HMRC respond to consultation on False Self Employment

http://www.accountingweb.co.uk/topic/tax/falling-deaf-ears/412441

A cynic might wonder why HMRC undertook this consultation process, on most aspects they have not moved.

The special test to determine status for PAYE and NIC will definitely go forward. These three tests all regarded by HMRC to represent a good start to the categorisation of workers and will form the basis of the new legislation.

Where workers are categorised as employees for PAYE and NIC but not regarded as employees under employment law, there will be no protection under employment law. The government has recognised the difficulties of the construction industry in recession and accept that legislation should not be brought in until the sector shows clear signs of recovery