Employed versus self employed is always a thorny issue and the man who owns Pimlico Plumbers has just found out how difficult it can really be. What’s more if you get it wrong our friends at HMRC can be very forthright in the way they’ll be dealing with you. Not only is there a hefty fine but you will almost certainly be told to pay the tax and NI (employees and ers) going back to when the employee started.
This is one of the most common areas where we have to provide clients with advice. All too often someone is taken on and paid on the wrong basis i.e. self employed and not on the payroll. The most common reasons given are; Only works a few hours, works for more than us, doesn’t want to be on the payroll or we don’t want to employ him/her. Either way none of these are valid reasons and unless you can provide the right reasons you could very well find yourself in deep water.
It’s a specialist area and one where we have provided successful advice over many years. If you think there may a problem feel free to call and we’ll do our best to help.