HC Deb 12 May 1999 vol 331 c166W
Dr. Cable

To ask the Chancellor of the Exchequer in what form he proposes to implement his proposals on tax avoidance set out in Inland Revenue Press Release 35. [83371]

Dawn Primarolo

The proposals will be legislated in the Finance Bill 2000. They will provide a mechanism for looking through a contractual relationship, where services are provided through an intermediary, such as a company, but the underlying relationship between the worker and the client has the characteristics of employment. In those circumstances, the engagement will be treated as employment for the purpose of tax and National Insurance.

The Inland Revenue is presently working with interested parties on details of the practical application of the proposals.

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