HMRC action over the taxation of temporary workers

HMRC has published concerns that organisations supplying temporary workers are creating overarching employment contracts so that temporary workers can claim tax relief for travel and subsistence expenses. To deal with this it plans to carry out a detailed investigation into the concerns and challenges will be made where organisations are considered to be non-compliant.

HMRC also warns that measures to prevent abuses of the system may be introduced. Employers should therefore review their current processes.



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