Treasury clamps down on NHS tax dodge

Treasury clamps down on NHS tax dodge

NHS trusts warned not to hold back on PAYE and NI payments

Plans by NHS trusts to delay paying tax and NI contributions to make their
books look healthier have been slammed by the Treasury.

Plans to delay payments would have removed expenditure from its 2005/2006
balance sheet, according to The Guardian.

But Treasury ministers were understood to be concerned that the tactic would
have misrepresented NHS forecast net deficit of £623m.

A Treasury spokesman told the paper that all public organisations have an
obligation to pay tax. Trusts have a responsibility to pass on staff’s PAYE tax
and NI contributions.

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