Has your Umbrella provider received a HMRC audit in the last twelve months and had their dispensation renewed?
Sterling Umbrella meets all HMRC requirements and has had a full PAYE and expense audit completed within the last month and we have had our dispensation renewed to include expenses claimed by our employees.
The renewed dispensation covers the below:
• Subsistence (Scale Rates for Day Subsistence)
• Professional Fees and Subscriptions
• Telephone for business purposes
• Sundry business expenses, eg. PPE and tools
This results in Sterling Umbrella not having to report these expense payments and benefits at the end of the year on forms P11D or P9D. Subsequently, this results in the employees of Sterling Umbrella benefiting from not having to deal with such matters on their personal tax return or via a S336 claim.
HMRC noted that every claim received was produced by the employee and a separate expense claim form was completed for each claim made, which they insisted was their minimum requirement. Evidence was provided to HMRC that proved every claim form was 100% checked and apart from subsistence all claims were supported by receipts. In relation to subsistence scale rates claimed, HMRC were more than satisfied with the process used to audit such claims.
Sterling Umbrella’s employment contract was also included in HMRC’s review and it was agreed that we have an overarching contract of employment.
As part of the HMRC visit they also looked at the transparency of how we conduct business and were satisfied that how things were explained to contractors and paperwork produced were clear and precise and all relevant statutory deductions and requirements were met such as National Minimum Wage. HMRC also interviewed several contractors who confirmed such findings. This was fantastic news to Sterling Umbrella in light of the forthcoming consultation on transparency within the umbrella industry.
Sterling Umbrella have always believed they offer a transparent and compliant service to its employees and recruitment partners and our recent HMRC visit has confirmed this to be the case. Many providers claim to be compliant but it’s always nice to have such beliefs confirmed, particularly by HMRC.
If you would like to discuss how Sterling Umbrella can assist your recruitment business with compliance or to discuss any other matter contact:
• Lorraine Molyneux Sales Director
• 01925 626 260 / 07780 680 960