It goes without saying that any hike in employers' NI will see businesses with staff on payroll incur a direct cost increase. But there's also the potential indirect cost, which firms need to be acutely aware of. By increasing employers' NI, the cost of non-compliance under the off-payroll working rules would rise. In other words, firms found to have mismanaged these controversial rules would be hit with bigger tax bills from HMRC.
This highlights the importance of businesses meeting their obligations from a compliance perspective. Added to this, should the cost of employing staff rise, businesses that have needlessly insisted that all contractors operate on the payroll regardless of their IR35 status desperately need to rethink their stance.
Collection
[
|
...
]