Posts by artiest

BBC presenter loses appeal, must pay £420k in IR35 crackdown

Re: Oh dear

Exactly right. and in the judgment it states

"180. We acknowledge that this is a value judgement. It is in the nature of a value judgement that different people may come to different conclusions. We do not criticise Ms Ackroyd for not realising that the IR35 legislation was engaged. She took professional advice in relation to the contractual arrangements with the BBC and she was encouraged by the BBC to contract through a personal service company."

HMRC stand no chance of getting that PAYE debt transferred to the director from the company as they cant reach the wilful level required. The judgment clearly shows she took professional advice, and that alone ought to deflect any claim to wilfulness.

Reg 72 of the Income Tax (PAYE) Regulations 2003 and Reg. 86 Social Security (Contributions) Regulations 2001

"1. The employer did not deduct PAYE;

2. The failure was wilful and deliberate; and

3. The employee received the remuneration knowing that the employer had wilfully failed to deduct the tax."

And this is why no-one should crap themselves about paying the deemed PAYE debt in an IR35 case. It can't be transferred to the director. Simply fold the company. HMRC use these sums for FUD.

Re: Tax refund?

Nope - they will deal with that in the settlement section, and PAYE debt will be reduced by CT payments.

This figure is 'pour encourager les autres' to settle.

Re: don't count your chickens

Hector cant transfer a PAYE debt from company to director - they have a very high bar to prove wilful and deliberate conduct. Clearly even having accountancy advice that this method was lawful shows there is nothing wilful here.