show menu

New reporting rules for employment agencies


Posted on 10 July 2015

A reminder has been issued by HMRC that employment agencies have until 5 August to ensure they are complying with new rules surrounding workers they place with clients without operating PAYE on the workers’ payments.

The legislation that was initially introduced in April 2015 requires businesses to report details to HMRC on a quarterly basis of payments made, if they supply two or more workers to a client without operating PAYE.

HMRC have created this new system in a bid to clamp down on businesses who are currently avoiding paying the correct amount of income tax and national insurance.

The first quarter from 06/04/2015 to 05/07/2015 must be submitted to HMRC by 5 August 2015.  This can be done through HMRCs online services.

For those employment intermediaries using a different intermediary, who then goes on to supply the staff, will not need to make a return.  It is only the intermediary who has direct contact with the business client that is required to do this.

The report sent to HMRC should include the name of the intermediary, address and postcode, the worker’s personal details and the engagement and payment details.


For more information, contact on of our tax experts here

Share on Twitter Share on Google+ Share on Linkedin