Latest News
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31st January 2012
Demand for IT Contractors Set to Soar in the G20 Countries -
27th January 2012
Demand for PAYE Umbrella Contractors Stayed Strong in January, REC JobsOutlook Reveals -
26th January 2012
Contractors May be Required to Obtain Compulsory HSE Passports -
25th January 2012
Scottish PAYE Umbrella Contractors are in Demand - More Atlantic News
History of MSC Legislation
IR35 was introduced years back with the aim of removing the tax advantages enjoyed by workers
who disguised their employment (with the end client, the recipient of their services) with incorporation (by forming
their own Limited Company through which to trade), thereby enjoying the fruits of reduced PAYE and NI liabilities.
IR35, was from HMRC's perspective an almost non-starter and to date there exists industry-wide
non-compliance as various schemes were devised to outsmart the Government's initial attempt at reigning the industry
in. The most prolific of these are, as you guessed it the Composites and Managed Personal Service Companies schemes.
In fact, these schemes have proven so popular that over the last 5 years they have grown at exponential rates, and today
are seen as a risk to the Exchequer, with losses in tax revenue for the Government estimated at around £350 million.
