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Debt transfer
Overview

As most contractors are now fully aware, the MSC legislation came into effect in April ‘07. A major part of the legislation is 'Transfer of Pay as You Earn and National Insurance Contributions Debts'.

Contractors need to be aware that in all cases they are always the first port of call that HMRC come to for payment of additional tax and NI assessed.

We believe that if a notice is issued to a contractor they will be unlikely to be able to appeal. An appeal can only be made where the contractor can show that a misinterpretation of the services or legislation has occurred. The reality is that HMRC would have already carried out an investigation on the provider before issuing the notices, therefore they already have a good understanding of the offering.

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