HMRC tool misleading
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HMRC tool misleading

posted in Tax by Phillip Harris on 08:30 Aug 8th, 2018

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 HMRC’s contractor tax testing tool misleading

An investigation by advice website Contractor Calculator has found that HMRC’s “check employment status for tax” (CEST) tool is routinely misleading contractors and the self-employed. The online tool is supposed to provide clarity over employment status but in nearly half of cases it is falsely indicating that self-employed people fall inside IR35 rules. A FoI request by Contractor Calculator found HMRC had assessed only 24 tribunal cases as part of CEST testing. CEO Dave Chaplin commented: "HMRC is failing in its duty of care to make sure the right amount of tax is collected. It seems HMRC is trying to get the most amount of tax rather than the right amount. These people are being forced into false employment.”

Source:   The Daily Telegraph (02/08/2018)

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