The taxpayer was a computer consultant working through the medium of a limited liability company. The respondent sought to make him liable for social security contributions as an employee of the business which used his services.
Held: The anti-avoidance provisions were effective. The court listed the factors which weighed on either side of asking whether he was an employee, but included that he only financial risk to him was of the client company’s insolvency, the contract was for a fixed period. And he was integrated into the work force, having a line manager. What weight was to be given to each factor was a matter of fact for the commissioners, and the court was unable to say that they were wrong in law.
Judges:
Hart J
Citations:
Times 07-Apr-2003, Gazette 05-Jun-2003, [2003] ICR 1149
Statutes:
Finance Act 2000, Social Security Contributions (Intermediaries) regulations 2000 (2000 No 727) 6
Jurisdiction:
England and Wales
Citing:
Cited – Professional Contractors’ Group and Others v Commissioners of Inland Revenue CA 21-Dec-2001
Legislation had been enacted to tax under Schedule E, people employed through one man service companies and similar. Representatives of such taxpayers sought review of the legislation as incompatible with European law being a hindrance to the . .
Cited by:
Cited – Usetech Ltd v HM Inspector of Taxes ChD 8-Oct-2004
The taxpayer operated through a one man limited company employed by a recruitment agency to provide IT services to a customer. He appealed a finding that he was liable to pay tax as an employee.
Held: The appeal was dismissed. The legislative . .
Lists of cited by and citing cases may be incomplete.
Company, Income Tax, Employment
Updated: 15 April 2022; Ref: scu.180509