From 6 April 2017 there is a new duty on the public sector, including schools, affecting tax and NI liabilities where an individual(s) who completes work for schools and are paid by invoice (not via payroll) could otherwise be considered as an employee.
This could be through;
- An individual’s own company
- A personal service company (PSC), or other intermediary
All schools who currently engage any off payroll workers (e.g. sports coaches, tutors) will need to take urgent action in order to comply with the legislation. A document is attached which advises of the impact this will have on schools and how to address any issues caused. Please review this carefully to avoid potential liability. It will also be available to access via Learning Together.
Further information can be found at: https://www.gov.uk/guidance/
For further guidance, please contact your HR Adviser.