blog header image

Posted : 08 Jan 2020 at 14:24:54
Category: Payroll News

Share this article

Following news that the Government has launched an eleventh-hour review of changes to off-payroll working rules in a move ‘to address any concerns from businesses and affected individuals about how they will be implemented’, APSCo has warned of the further confusion this could create. 

On the announcement, Tania Bowers, Legal Counsel at the Association of Professional Staffing Companies (APSCo), commented: 

“While we are not altogether surprised by this announcement, we are disappointed that there is no intention of delaying incoming changes. APSCo has called for implementation to at least be delayed pending a further impact review and completion of an assessment on employment status. There is a clear need for a proper review, with adequate time to publish the outcome and recommendations of the review, and then roll out changes with certainty on final legislation. This timeline just doesn’t work.

“We, of course, support HMRC’s intention to ‘ensure smooth implementation of the reforms’. We also welcome further internal analysis of the CEST tool. However, the reality is that this review – at this time – is likely to create even more confusion.

“Essentially, with just weeks to go until the changes are implemented, we are now at a point where we don’t have any certainty around final legislation or any firm guidance from HMRC. New rules apply from March for firms running monthly payrolls – this eleventh-hour review is simply too late.

“A survey of APSCo’s membership, undertaken in December 2019, revealed that although more than three quarters (79%) of the professional recruitment firms polled believed that most of the businesses they work with were aware of the incoming changes, just 51% said the majority of their clients were actively preparing for the updated legislation. With this in mind, we fear that this move will encourage some employers, recruiters and contractors to further postpone preparations due to ongoing uncertainly until mid-February when the review concludes – and by then the deadline will be imminent.

“There is certainly a feeling among some that this review is just a formality, with the Government obliged to follow through with a commitment that The Chancellor made publically last year during the run-up to the General Election. Regardless of the catalyst for this announcement, we at APSCo are always open to engaging with the Government to ensure the voices of our members are heard by policy makers and we expect to meet with HMRC as part of this review.”

Original source - APSCO

SIMILAR NEWS

blog header image
PAYROLL NEWS
FURLOUGH SCHEME EXTENDED TILL MARCH AND SELF-EMPLOYED GRANT BOOSTED AGAIN

The government has announced a five-month extension of the furlough scheme while the self-employed will be eligible for a third grant worth up to £7,500. The original furlough scheme w ...

blog header image
PAYROLL NEWS
CHANGES TO THE HMRC EMPLOYMENT STATUS MANUAL WITH REGARDS TO UMBRELLA COMPANIES

It is good to see the HMRC trying to make adjustments to the rules set to protect the workers using Umbrella companies but this just goes to show that they really do not understand how most of the Pay ...

blog header image
PAYROLL NEWS
STATUS DETERMINATION STATEMENT: OFF-PAYROLL EXPLAINER FOR APRIL 2021

The off-payroll framework is fast approaching, there are still two of the key requirements of the new IR35 legislation from April 2021 which seem to be shrouded in mystery, the main legislative obliga ...

blog header image
PAYROLL NEWS
IR35 - RISK TO CLIENT/BUSINESS

Article from Alexander Wilson LL.B. (Hons.) (Dunelm.), CTAIR35 barrister and CTA - Helping all corporations safely retain independent contractors with strong legal advice"Inside IR35" is NOT ...

blog header image
PAYROLL NEWS
HMRC INTERNAL MANUAL EMPLOYMENT STATUS MANUAL

HMRC internal manual Employment Status Manual Published: 7 March 2016 Updated: 10 February 2020 see all updates Agency and temporary workers: the agency contract and the requirement for personal ...

blog header image
PAYROLL NEWS
IR35 POLL RESULT – CONTRACTORS WILL DUMP CLIENTS ISSUING PSC BLANKET BANS

IR35 Poll ResultThe ITContractor.com IR35 poll result shows that a vast majority of UK contractors plan to dump their clients if the client issues a blanket ban on contractors who use personal service ...

business-directory Business Directory
smartbusinessdirectory Payroll Services Business Directory
truebusinessdirectory payroll-services Directory
payroll-services Directory