Consultation on the taxation of controlling persons
Close date: 16 August 2012
The Government consults on introducing a provision to ensure that the income tax and national insurance contributions of "controlling persons" are deducted at source by their engaging organisation. The purpose of this is to address the "established and growing problem with people using intermediaries to disguise employment". It is the Government’s view that, where a person directs the activities of an organisation, and he or she is engaged at a senior level (through an intermediary), that individual should be taxed as an employee.
Consultation document: Consultation into the taxation of controlling persons (on the HMRC website)