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Umbrella companies have been around for years, but since the recent changes to off-payroll legislation (IR35), there has been a noticeable rise in the number of umbrella companies targeting UK temporary workers. With so many options, how do you know which umbrella company is best for your circumstances, and what should you be aware of when selecting one for your payroll?
HMRC is continuously stepping up their efforts in catching contractors engaging with non-compliant payroll services; choosing a compliant umbrella has never been so crucial. To help you make well-informed decisions, we’ve come up with eight useful tips to help you pick an umbrella company you can truly rely on.

Last year, a first-tier tribunal went in favour of Talksport presenter and comedian Paul Hawksbee. It was found that Paul and his personal service company (PSC) Kickabout Productions Ltd were operating compliantly and outside IR35. Interestingly, it wasn’t the first time HMRC had lost a case regarding IR35, and it looked as if they were continuing to lose credibility on the legislation and their understanding of how it applies in practice. After an appeal from HMRC, an upper tribunal ruled in favour of HMRC – almost 12 months after the original ruling. As a result, Paul Hawksbee faces a tax bill of nearly £140,000.

As part of the package of measures included in the draft Finance Bill 2020-21, the Treasury has set out a roadmap for extending Making Tax Digital filing. From April 2022, the programme will be extended to all VAT registered businesses and plans to include income tax self-assessments from April 2023.

Completing a tax return can be time-consuming and often stressful – especially if you decide to put it off until the last minute. Although it’s tempting to leave it until later in the year, there are many benefits to filing your Personal Tax Return early.

In an unusual appeal, HMRC has asked for the assistance of organisations and workers in gathering evidence to help tackle unethical disguised remuneration schemes. More precisely, HMRC is looking for stakeholders to help them understand why people are continuing to engage with disguised remuneration schemes, how they can identify new schemes, and where they can take further action to close schemes and reclaim unpaid tax fairly.

Since the Coronavirus Job Retention Scheme (CJRS) went live in March, over one million businesses have made a claim. As a result, over 9 million employees have been able to keep their job, as they have been placed on furloughed leave.
In July’s Summer Statement (8 July), Chancellor Rishi Sunak announced a series of packages “to support jobs in every part of the country, give businesses the confidence to retain and hire, and provide people with the tools they need to get better jobs.” One of these packages is the Job Retention Bonus.
More information on the Job Retention Bonus is scheduled to be available later in July. However, keep reading and find out what we already know about the Job Retention Bonus, and whether or not it could be useful for contractors operating through a personal service company (PSC).

In a bid to tackle fraud in the construction industry, HMRC will be introducing a domestic reverse charge which will take effect from 1st March 2021. The new legislation will only apply to specific building and construction services and will mean that the customer will now be liable to account for the VAT on purchases.

The Employment Allowance allows eligible businesses in the UK to reduce their annual National Insurance liability by up to £4,000. Our blog explores how the allowance works and how your company could benefit from it.

Rishi Sunak unveils stamp duty holiday, furlough bonus and VAT cuts in the hospitality sector as part of £30bn plan to prevent mass unemployment and kickstart the economy.

The coronavirus pandemic has put monumental stress on key workers in the UK, including NHS staff, carers and emergency workers. To show their appreciation, businesses have been offering key workers special discounts and offers. However, HMRC has been made aware of multiple tax avoidance schemes that have been targeting key workers (especially NHS) and trying to mislead them into avoiding their legal tax responsibilities.