TaxPersonal TaxIR35: Revenue arguments go further

IR35: Revenue arguments go further

I note the Inland Revenue is arguing that the deemed salary provisions are applicable to any industry sector.

A corollary of that would be that it would be applicable to all the 20 million PAYE employees. Thus the 5% maximum allowance for expenses should be applied across the board to all taxpayers who are on PAYE.

Some PAYE employees currently get allowances for expenses that would easily come to 15%. Again self-employed persons can claim say between 15% to 50% (in practical terms) of revenue as allowable expenses, PAYE employees should be allowed, say 15%, rather than the draconian 5% in this new legislation.

Nagindas Khajuria, FCCA
Khajuria & Co

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