Her Majesty’s Revenue & Customs has had its wrists slapped by the House of Lords for failing to justify its crackdown on freelancers and contractors setting up so-called personal service companies.
The House of Lords Select Committee on Personal Service Companies warned that HMRC needed to do more to demonstrate that the amount of revenue raised by the so-called IR35 legislation, outweighs the costs it imposes on business.
In particular, it accused HMRC of failing to provide a sound basis for its claim that £550 million of tax and national insurance was at risk if IR35 were to be abolished.
To read the full article: http://www.thetimes.co.uk/tto/business/industries/banking/article4056115.ece
