Personal service companies

Apr 22, 2016

In the March 2016 Budget important changes were announced that will affect individuals working in the public sector through an intermediary such as a Personal Service Company. From April 2017, the responsibility for determining the tax status of an individual (essentially whether or not they should be taxed as an employee)  will be decided by the engager rather than the end individual. HMRC are currently consulting on how the process will work and a consultation document is expected before the Summer. It is anticipated  that engagers will be provided with guidance and online tool kits to enable them to determine the correct tax status. Please contact us for further advice.

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