Feedback from the initial Call for Evidence in 2021 drew out important issues which formed the basis of some questions raised in the latest consultation, which closed in August. One chapter focussed on possible options for regulating umbrella companies. In this article we consider those questions, their possible outcomes along with our own views.
At this stage nothing is known but it is worth agencies and end clients considering the possible impact of ‘Transfer of tax debt that cannot be collected from an umbrella company to another party in the supply chain.’ Along with how it may play out if it becomes part of the government’s solution. If adopted as a central pillar of change, this decision would be very much in line with the government’s approach to Off-Payroll Working (IR35). Despite its hostile reception by the industry, both HMRC and government have deemed it a success in reducing non-compliance.
The countdown to April 6th is on. The Government have already confirmed that the introduction of the off-payroll working legislation will not be delayed in 2021 so it’s imperative that recruitment agencies have a plan in place. As always, agencies can continue to contact their PayStream Client Relationship Manager for hands-on IR35 advice, however here are a few quick pointers of things we learnt from our clients in the run up to the changes last April.
At PayStream, we have roughly 20 team members working within our payroll department, from trainees right up to well established and experienced Payroll Seniors. To mark National Payroll Week 2020, we asked our Payroll Manager a series of questions to understand the huge impact their work does for not only our contractors but the agencies we partner with.
Loren originally joined PayStream back in 2013 as a Compliance Assistant and now works as our Senior HR Advisor. She takes responsibility for employee relations cases, training and development, on-boarding and ad hoc project work. We wanted to find out a little more about Loren and her PayStream journey.