The HMRC are responding to increased false self employment on the part of employment intermediaries acting on behalf of self employed workers who should legally be regarded as employed, and therefore attract the same rates of Tax and National Insurance as an employed person would do.
From 6 April 2015, Employment Intermediates must send details of workers they place with clients who are not:
- Direct employees or,
- Being treated as employees.
The HMRC has published Draft Reporting Regulations for which the consultation period has just ended (25 November 2014).
For more information about this change and the possible impact it might have to your business see the HMRC website