Status Services

from Abbey Tax & Accountax 

 

Many businesses outsource elements of their work to 3^rd parties and subcontractors where they might have employed someone in the past.  HMRC are well aware of this and can gain access to contracts and other documentation relating to such arrangements.  It is therefore critical to ensure that the arrangements for dealing with subcontractors are robust and will stand up to HMRC scrutiny. 

 

Abbey Tax and Accountax have jointly developed services designed to protect businesses from status issues, but importantly, our services are tailored to the specific needs and working practices of the business. 

 

Written Contract Review

 

Some organisations will have contracts for services in place and may simply be interested in a review of the contractual terms.  Abbey Tax will provide a written report with suggested improvements from as little as £300 + VAT.

 

Contract Drafting

 

Many businesses, however, are looking for a complete re-write of their contracts with their subcontractors and the approach taken in these circumstances might be best described as a ‘process’.  Abbey Tax’s specialists will normally ask the engaging organisation to complete a questionnaire which allows us to understand the business and from this information an initial draft is produced.  This draft is then worked upon in consultation with the business until it accurately reflects the working practices of the business. 

 

Audit

 

Good written contracts are important, but there is also considerable other written correspondence with subcontractors, as well as administrative and procedural matters which if incorrectly undertaken can be enough to trip up even the most conscientious contractor.  Although this service is not limited to the Construction Industry, Accountax’s consultants have found that the concerns that contractors have relating to CIS have made a full audit an invaluable tool for staying on the right side of the law.

 

Accountax will advise on the implementation and administration of subcontractor procedures from engagement through to the documentation used to pay subbies including a review of Health & Safety policies to ensure that these are written for an independent contractor and not aimed at employees.  The costs of an audit will depend on the size of the business and the level of work Accountax are asked to undertake.

 

Dealing with Status Disputes

 

Both Abbey Tax and Accountax can offer different packages (including fixed fee arrangements) to deal with any HMRC enquiries, allowing the business to be represented by Status Specialists.  In the case of CIS contractors we now have the facility to offer insurance to protect the contractor against NIC loss in the event HMRC are successful in reclassifying any subcontractors as deemed employees.

For more information, please call our Contractor Unit on 0845 223 2727 or email sales@abbeytax.co.uk