Ritchie on taxes: shouldn\’t a tax accountant know this stuff?

Let\’s be clear: I am quite sure all the newspapers jumping up and down about this issue at the BBC pay many of their \”staff\” as contractors.

There are four problems that follow. The first is that this is always done for better-paid staff: the impression that tax avoidance is for the well-off is reinforced. This is a divided country.

Seriously, an international tax expert who has freelanced for the British newspapers for a decade now really should know this.

There\’s a special scheme for newspaper freelances. Sure, the fee gets paid gross by BACS or the like. And then a copy of that is sent off to HMRC. In a way that almost no other payments in the economy are.

There\’s a specific and exact scheme in place for the industry to make sure that freelancers don\’t dodge…..

5 thoughts on “Ritchie on taxes: shouldn\’t a tax accountant know this stuff?”

  1. “As the parliamentary accounts committee revealed, HMRC investigated just 23 cases of this sort in 2010-11. ”

    Considering that I got an inspection for IR35 a few years ago, I somehow doubt that includes every visit from an HMRC officer to every contractor.

  2. Depending on how they use the term ‘investigated’ I was perhaps two of those in 2010-11. Is that figure perhaps in depth investigation rather than some tax bod writing to ask to see certain docs?

  3. The piece simply confirms Murphy’s insanity- who is this mystery ‘we’ he refers to -other Stalinists of his stripe?

  4. @johnb,

    If costs are as near to to zero as you claim how come my golf club has a minimum spend of£25 and my local pub £10? I don’t think there is a small retailer round here who doesn’t have a minimum fee.

  5. SimonF – is that for cards? My minimum spend is technically £5, but we do accept cards below that figure on occasion. Depends more on the profitability and how quickly it sells of the item than anything else, for going below our minimum.

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