Asked by: Jim Shannon (Democratic Unionist Party - Strangford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what steps HMRC is taking collect PAYE tax from agencies who use registered contractors.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
Under section 44 of the Income Tax (Earnings and Pensions) Act 2003, most contractors supplying services via agencies must be treated as employees for income tax and National Insurance contributions (NICs) purposes by the agencies that pay them.
These agencies are required to make deductions of income tax and employee NICs, where these are due, from the workers’ pay through Pay As You Earn in the same way and at the same level as with direct employees. The agencies will also be liable to pay employer NICs, where these are due, in respect of payments to the workers.
HMRC has a risk-based approach towards compliance activities and will investigate evidence of non-compliance or avoidance. Where HMRC finds that an agency has failed to account for tax and NICs, it will seek to recover unpaid amounts due.
Asked by: Jim Shannon (Democratic Unionist Party - Strangford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many people seeking refunds as a result of changes made in response to the Morse Review have been refunded by HMRC.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
I refer the Hon. Member to the answer given to UIN 80825.
Asked by: Jim Shannon (Democratic Unionist Party - Strangford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make an estimate of the amount of tax avoided through disguised remuneration schemes that will be paid back by people who recommended, promoted and operated these schemes.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
I refer the Hon. Member to the answer given to UIN 59955 on 18 October.
Asked by: Jim Shannon (Democratic Unionist Party - Strangford)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, how many (a) promoters and (b) operators of schemes now subject to the loan charge have been prosecuted for those schemes.
Answered by Victoria Atkins - Secretary of State for Health and Social Care
I refer the Hon. Member to the answer that was given on 3 November 2021 to the Question UIN 62867
I also note that you have recently asked a similar question (13728) and so thought it prudent to add the following context;
It is important to consider the complexities of criminal investigations of this nature when reflecting on progress to date. Whilst legislation came into force from 2016, the Loan Charge was a new charge on disguised remuneration loan balance outstanding at 5 April 2019.
Investigations (and any resulting trials) into circumstances like these are typically complex and lengthy. These cases often involve multiple participants, so require thorough investigation.