HMRC clarify use of contractors and DR schemes

Released 29 April 2021

HMRC Chief Executive and First Permanent Secretary Jim Harra, has written to the chairs of the All-Party Parliamentary Group on the loan charge, in response to its letter on HMRC’s use of contractors received in February 2021.

In summary, Mr Harra claims that whenever HMRC have discovered that a contingent worker is a current user of a disguised remuneration (DR) scheme, the Department has taken immediate action to terminate the engagement, and it will continue to follow this approach. HMRC will continue to assess the suitability and effectiveness of regular checks on contingent workers engaged by HMRC and Customs Digital Technology Services (RCDTS).

Further information can be found in Letter from Jim Harra to the Loan Charge All Party Parliamentary Group – 29 April 2021.

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