On 6th April 2014 HMRC’s legislation on agencies and temporary workers became live. This now places the liability for workers not being paid via a PAYE payroll squarely with recruitment agencies.
In addition, where any workers are engaged outside of a PAYE payroll, the agency now also carries the responsibility for demonstrating to HMRC why this is so.
Exact guidance on how they should do this has still not been issued.
But, because eQuidity is a pure PAYE Umbrella we do not provide workers with any additional models for being paid, such as self-employment.
It’s vital that any agency engaging with a provide knows and trusts who they are dealing with.
eQuidity offers purity and entirely UK-based employment of workers.
View our fact sheet or call to speak to us about he likely reporting requirements and what we can provide you with.
Managed Service Company Legislation
The Managed Service Company (MSC) legislation has been in force since 2007, with the aim of reducing ‘unfair competitive advantage’ amongst workers compared to ‘compliant businesses and workers’.
As a PAYE Employment Based Umbrella Company, eQuidity enjoys exemption from the MSC legislation and we therefore represent no third party debt transfer risk under MSC.
For providers offering other solutions in addition to PAYE Umbrella, the legislation may remain an issue.
eQuidity offers purely a PAYE Umbrella solution with all our workers employed by us.
Agency Workers Regulations
The Agency Workers Regulations were implemented in October 2011 and consequently since then all employees of eQuidity are deemed to be in scope.
We therefore operate both Swedish Derogated contracts of employment (making payments between assignments (PBA), as well as Match Pay/Comparable Pay employment contracts, dependent on the requirements of the agency.