The 2007 Budget directly affects 85% of UK contractors. It has shocked many in the contracting sector, with Chancellor Gordon Brown confirming that new tax legislation will target contractors, their Managed Serviced Companies (MSCs) and their Personal Service Companies (PSCs).
Not only will the new legislation make many schemes used by contractors illegal, but it will also be retrospective. This means that many contractors face fines and prosecution if they have been ignoring the clear warnings over recent years from HM Treasury and HM Revenue & Customs. Their clients and agencies, too, are under threat.
Not surprisingly, some of the 'biggest' names in the market are falling over themselves to withdraw their suspect services. Sadly, it is the individual contractors, their recruitment agencies and their clients who may face the full force of investigation, prosecution and penalties meted out by HM Revenue & Customs.
Fortunately, those contractors using Tarpon have no such worries, as Tarpon has always been fully compliant with HMRC, and always will be. Similarly, agencies and clients may rest assured that Tarpon contractors will in no way jeopardise their own HMRC compliance.
To speak to one of our tax experts call 0845 643 1580.