Blog

Two government departments have recently unveiled they face a combined tax bill of over £120 million due to IR35 status errors. The Department for Environment, Food & Rural Affairs (Defra) and the Ministry of Justice (MoJ) used CEST, the government's IR35 status tool, to determine the IR35 status of their temporary workforce. Unfortunately, the tool appears to have failed. Keep reading, and we will explain why Defra and the MoJ face such heavy tax bills from the government.

With just over a month to go until the self-assessment tax deadline, it is worth double-checking whether or not you have to submit a self-assessment tax return. In many cases, umbrella company employees won’t need to submit a tax return because they are taxed similarly to those in permanent employment (PAYE). However, any additional income may need to be disclosed to HMRC by submitting a tax return. Continue reading to discover whether you need to file a self-assessment tax return.

If you are required to submit a self-assessment tax return for the 2020/21 tax year, it’s recommended you file it before Christmas – to ensure you’re well within the deadline of the 31st January 2022. This blog explains more about the importance of beating the deadline, and we explain who needs to complete a tax return. There are also a few eye-opening facts about the submission of tax returns during the Christmas period. Keep reading to find out more.

The government has launched an open consultation into the role of umbrella companies in the labour market to better understand the industry and how umbrellas interact with the tax and employment rights systems. The consultation requests multiple stakeholders' input by answering a series of questions, including contractors, recruitment professionals, and end-hirers. In this article, we summarise the consultation and explain how you can help contribute to the sector's expected developments next year.

During the pandemic, HMRC introduced a workaround for those who needed to register for self-employment and obtain a Unique Taxpayer Reference (UTR) but could not get a National Insurance Number. Continue reading as we outline the next steps you need to take to ensure you are registered as self-employed for National Insurance purposes.

Today (Wednesday 27th October 2021), Chancellor of the Exchequer, Rishi Sunak, delivered his third budget in parliament, along with the Spending Review. As the country looks to bounce back from the catastrophic impact of the coronavirus pandemic, experts predicted several tax hikes and strategies to recuperate billions of pounds for the UK economy. This blog article summarises the key announcements in the Autumn Budget 2021 and Spending Review, and includes feedback from the Freelancer and Contractor Services Association (FCSA).

A new type of fraud has swept across the umbrella company sector, and it’s targetting compliant umbrella companies, recruitment agencies and tens of thousands of honest, hard-working contractors and freelancers. Please keep reading as we explain what umbrella cloning is, what has happened so far, which companies have been targeted, and how to identify fake communication from criminals pretending to represent legitimate umbrella companies.

On Wednesday 27th October 2021, Rishi Sunak will deliver the Autumn Budget 2021 – his third Budget as Chancellor of the Exchequer. He is expected to announce a series of measures to help the UK's economy recover from the devasting impact of the coronavirus pandemic. Keep reading for predictions and rumours of what may arise in the Autumn Budget 2021.

Churchill Knight Umbrella is committed to compliance within our sector. However, we're equally dedicated to customer service and ensuring our umbrella company employees have the best possible payroll experience using our umbrella company. As a result, we're delighted to provide all our employees with access to My Digital – state-of-the-art cloud-based software specially designed exclusively for umbrella companies. My Digital makes getting paid with an umbrella company more effortless than ever before. Most importantly, the software is secure and protected with cyber security that is second to none. Keep reading, and we'll explain My Digital's approach to cyber security.

In a statement released on the 23rd of September (2021), the government has confirmed Making Tax Digital (MTD) for income tax self-assessment (ITSA) will be delayed by a year. In an attempt “to help those impacted by the changes” and “ for their representatives to develop their own support and guidance”, MTD for ITSA will be now be rolling out from April 2024. Keep reading, and we’ll summarise the latest announcement from the government and how it’ll impact landlords and self-employed professionals in the UK.