HMRC Research: off-payroll working rules (IR35)
Published: 3 September 2020
HMRC developed a series of messages and communications products aimed at contractors providing services through a PSC to communicate these changes. The aim of this research was to establish awareness of the changes amongst contractors and their understanding of the messaging and communications products tested, specifically their understanding of whether and how they will be affected and what they need to do as a result of the changes.
HMRC ESM – actors and other performers
Published: 3 September 2020
ESM Update: 3 September 2020
HMRC has updated their guidance on actors and other performers. On the 3 – 4 Sept 2020, HMRC uploaded a raft of new guidance for the entertainment industry. Although, HMRC have pointed out that the guidance is not for TV or Radio presenters.
Link: https://www.gov.uk/hmrc-internal-manuals/employment-status-manual/esm4121
Case law: the question of ultimate control
Published: 5 September 2020
Bannerman v. Euroscot Engineering Ltd [2020] UKEAT S0010/19/AT
Bannerman pursued a claim for unfair dismissal, wrongful dismissal and ancillary claims. In the first instance the employment tribunal (ET) had to decide on whether he was an employee, a worker or self-employed.
Research: HOC library PSCs & IR35
Published: 8 September 2020
The ‘IR35’ rules to prevent the exploitation of personal service companies (PSCs) for tax avoidance were introduced in April 2000, following a long and contentious consultation exercise. This legislation remains unpopular among freelancers who use this corporate form to provide services.
This note published by the House of Commons library looks at debates as to the effectiveness of these rules and wider concerns about the use of employment intermediaries to avoid tax. The note then discusses recent developments as to their application in the public and private sector.
Link: https://commonslibrary.parliament.uk/research-briefings/sn05976/
HMRC ESM: OP21 debt transfer provisions
Published: 21 September 2020
ESM Update: 17 September 2020
ESM10031 – Off-payroll working legislation: Chapter 10, ITEPA 2003 (from 6 April 2021): basic principles: recovery from other persons – how it will be applied
HMRC have updated their guidance on how the recovery of a debt from other ‘relevant persons’ will be applied.
Link: https://www.gov.uk/hmrc-internal-manuals/employment-status-manual/esm10031
Case law: Spanish food delivery drivers are not self-employed
Published: 25 September 2020
The Spanish Supreme Court held last week that food delivery drivers are employees not self-employed workers. The case was brought by a former worker for Glovo, the most popular food delivery service in Spain along with Deliveroo.