TaxCorporate TaxBreaking News: Bitter blow for contractors

Breaking News: Bitter blow for contractors

British contractors and small businesses have been dealt a bitter blow today as the UK High Court upheld a ruling that favoured the Inland Revenue's controversial IR35 rule.

The case between ex-police officer, Gordon Stutchbury, backed by the Professional Contractors Group, stated that he was a ‘disguised employee’ of EDS and should be subject to PAYE.

Stutchbury contested this, saying his software consultancy Synaptek, was a business in its own right. He had to pay over 50% of his company turnover in tax as a result of the Revenue’s stance.

‘It is clearly disappointing and as anyone who’s ever run a business knows, this sort of confusion adds to the pressures and uncertainties. It’s almost impossible to run a business on that basis,’ said Stutchbury.

Mr Justice Hart dismissed the appeal in court earlier today.

Related Articles

Watch out when winding up

Corporate Tax Watch out when winding up

2m Emma Rawson, ATT Technical Officer
How might Brexit affect UK tax policy?

Brexit & Economy How might Brexit affect UK tax policy?

2m Santhie Goundar
Corporation tax losses – your newly flexible friends

Corporate Tax Corporation tax losses – your newly flexible friends

4m Emma Rawson, ATT Technical Officer
HMRC large business tax enquiry duration rises to 3 years

Corporate Tax HMRC large business tax enquiry duration rises to 3 years

4m Emma Smith, Managing Editor
SMEs paying higher rate of corporation tax than big businesses

Corporate Tax SMEs paying higher rate of corporation tax than big businesses

5m Alia Shoaib, Reporter
Big names, little tax: Airbnb, Facebook, Kellogg’s, eBay

Corporate Tax Big names, little tax: Airbnb, Facebook, Kellogg’s, eBay

8m Alia Shoaib, Reporter
New trading allowance: simplicity, but not as we know it

Administration New trading allowance: simplicity, but not as we know it

8m Emma Rawson, ATT Technical Officer
EU divided over radical tax reforms targeting tech giants

Corporate Tax EU divided over radical tax reforms targeting tech giants

8m Alia Shoaib, Reporter