Since the introduction of IR35 in 2000 the accountancy/umbrella/contractor support sector has grown at breakneck pace, so much so that HMRC’s focus turned to dealing with various non PSC models, all of which had one thing in common – tax avoidance, namely schemes to encourage payment of less PAYE and NICs. Many schemes were entirely lawful under the original law but one after another the tax rules were gradually changed to stop perceived misuse. On each occasion Lawspeed has presented on the change and how to address it from a contractual and legal perspective. For example when the MSC legislation was introduced in 2007 Lawspeed presented several seminars in conjunction with HMRC, and we did the same when the expenses rules and then the IR35 rules were changed.
Our position has always been one of neutrality, believing that our audience is simply interested in knowing what the law says and then understanding how to address the difficulties the change caused. This requires a broad understanding of how the recruitment industry and relationships work, the factors involved in making a supply placement, and importantly the interaction between tax regulations and other compliance regulations. Lawspeed experts have that understanding.
Today the subject matter is no longer simply IR35 as it has been for so long. 15 years on the MSC rules are back in focus posing a singular threat to non compliant organisations, or, putting it another way, organisations that choose to believe that the law is not relevant and so do not take the necessary precautions to avoid risk. Most tax liability accrues to businesses, not their directors, but MSC has a particular sting in its tail as directors can be jointly and severally liable. To understand the law in its particular context is to understand the risk. With the opportunity to listen once again to key government personnel and network with your peers, our seminar on 14th July will explain the issue in the round, so those interested in knowing how it all works will gain an insight that will serve them well.