Legal Issues

Tax advice and models : incisive sector reports from Lawspeed

Lawspeed’s Incisive Sector Report series provides authoritative, comprehensive, user-friendly and practical advice on key taxation and legal issues faced by recruitment businesses.

We introduce three new reports advising on:

  1. the agency worker tax rules
  2. April 2016 changes to tax relief on travel and subsistence expenses
  3. supervision, direction and control


Purchase an individual report for just £150+VAT, £250+VAT for two reports, or £375+VAT for three reports.

Clear expertise 

Increasingly agencies are faced with new and complex tax legislation that has a direct effect on their business operations. This includes new and existing legislation which can potentially make an agency liable for taxes in respect of the individuals it supplies who are engaged by third party PSCs and umbrella companies. As a result it is important for agencies to be aware of the relevant changes to tax legislation and how these impact on their own engagement models and relationships and importantly whether the engagement models of third parties could result in tax liabilities.

Lawspeed’s extensive knowledge of tax, employment and agency legislation, combined with a practical understanding of the recruitment industry, means that we are ideally placed to advise on both the legislative changes and the different engagement models that will act to protect agency businesses. Lawspeed also advises on the potential knock-on effects to other areas of recruitment law, such as IR35, the AWR and opt outs from the Conduct of Employment Agencies and Employment Business Regulations 2003.  

About our reports


1. Agency Worker Tax Rules (S44-47 ITEPA 2003)

About this report: The agency worker tax rules were significantly changed in 2014, resulting in agencies being potentially responsible for PAYE tax and NICS in respect of workers engaged by third parties, including umbrella or PSCs within the recruitment chain. The rules are complex and impose liabilities. The rules were followed by reporting obligations which took effect from the summer of 2015.

 

Contents & features:  A general report on the agency worker tax rules within S44-47 of ITEPA 2003, following on from the 2014 changes and the 2015 reporting requirements. This report addresses when and how this legislation applies, the risk to the parties involved, the knock-on effects and the reporting requirements.

 

2. April 2016 changes to tax relief on travel and subsistence expenses

About this report: Two significant changes to tax law apply from April 2016, both of which restrict the ability of agencies, umbrella companies and PSCs to apply tax relief to travel and subsistence expenses. As a result the models offered by umbrella companies have changed. Agencies, umbrella companies and hirers should be aware of the changes, the circumstances in which they may face liability and other potential pitfalls as a result of the umbrella companies and service providers offering alternative models.

 

Content and features: A general guidance report on the April 2016 changes relating to Travel and Subsistence Expenses – this report explains the legislative changes, the reasons why current models have to alter, how the changes affect PSCs, the liability of the parties if tax reliefs are wrongly applied and the potential pitfalls to watch out for in other areas - for example contracts, opt-outs and the AWR.

 

3. Supervision, direction and control

About this report: Both the agency worker tax rules and the new rules relating to the application of tax relief on travel and subsistence expenses can be dis-applied in the event that the manner in which the services of the worker are provided is not subject to supervision, direction or control, or a right of supervision direction or control by anyone.

 

Contents and features:  A technical report on the test of whether the manner in which a worker provides his services is subject to Supervision, Direction or Control. This report looks specifically at the application of this test, the factors to be considered in determining whether the test has been met, and the position taken by the courts and HMRC.

Click to request your copy of this report for £150+VAT

 

Incisive sector reports

A multiple purchase of two or three reports is offered at a discounted price:

  1. Agency Worker Tax Rules
  2. April 2016 changes to tax relief on travel and subsistence expenses
  3. Supervision, direction and control

 




Click to request your copies of *two reports for £250+VAT:

 *Please indicate which two reports you require.


Click to request your copies of all three reports for £375+VAT

 

We offer discounted rates for multiple purchase of two or three reports:

  1. Agency Worker Tax Rules
  2. April 2016 changes to tax relief on travel and subsistence expenses
  3. Supervision, direction and control 

 

 

We offer discounted rates for multiple purchase of two or three reports:

  1. Agency Worker Tax Rules
  2. April 2016 changes to tax relief on travel and subsistence expenses
  3. Supervision, direction and control 

 

 

We offer discounted rates for multiple purchase of two or three reports:

  1. Agency Worker Tax Rules
  2. April 2016 changes to tax relief on travel and subsistence expenses
  3. Supervision, direction and control 

 

 

We offer discounted rates for multiple purchase of two or three reports:

  1. Agency Worker Tax Rules
  2. April 2016 changes to tax relief on travel and subsistence expenses
  3. Supervision, direction and control 

 

 

We offer discounted rates for multiple purchase of two or three reports:

  1. Agency Worker Tax Rules
  2. April 2016 changes to tax relief on travel and subsistence expenses
  3. Supervision, direction and control