HMRC has updated their list of named tax avoidance schemes, with five new additions:
– Able Ltd
– AML Tax (UK) Limited
– Contractor Central Accounting Ltd
– Denmedical UK Limited
– Tailored UK Services Ltd
Doug Barrowman is a well known figure within the contractor space, and many in the sector have long been frustrated with HMRC’s apparent lack of action against him. So many will welcome the inclusion of AML (Tax) UK Limited on HMRC’s latest list as AML was ‘a part of Doug Barrowman’s Isle of Man-based Knox Group’.
According to HMRC: “AML Tax (UK) Limited, directed by Arthur Lancaster and part of Doug Barrowman’s Isle of Man-based Knox Group, was fined £150,000 after HMRC brought an upper tribunal case over the firm’s failure to comply with formal information notices as part of a tax investigation.”
This growing list of tax avoidance schemes is a good starting point, but it doesn’t reach a wide enough audience – which is why it’s vital to get the message out there.
There is not enough awareness, and it’s far too easy to fall into the trap of working through a scheme without realising it. Often the first you’ll know about it is when you receive a huge tax bill from HMRC, a horrible shock when you genuinely have no idea.
Please choose your umbrella company carefully. Don’t assume that recommendations made by your recruitment consultant are automatically safe, the dodgy schemes can afford to pay large kickbacks to agencies for referrals. Do your own research, make sure you know how much your net pay should be and if you receive a higher amount query it.
Please please please check your tax record at HMRC, to make sure that everything you think is being paid to them actually is. It’s really easy to do and once you have set up your personal tax account you should check it regularly.