PCG welcomes House of Lords debate on Personal Services Companies
Reacting to the debate, Simon McVicker, Director of Policy and External Affairs at PCG said:
“It was heartening to see so many members of the House of Lords reinforce their scepticism of HMRC’s cost and risk estimates when it comes to the impact of IR35. In particular, for Lord Myners to go as far as calling HMRC’s response & lsquo;flimsy’ must be seen as a scathing indictment of the case put forward in defence of the legislation.
“HMRC were asked by the Committee to justify its figure of £550m as the total revenue protected by IR35. The calculation they have offered in their response is based on a series of assumptions, which is a particularly alarming admission given that this figure is the sole justification put forward for keeping IR35 in place.”
“There is clearly a cross-party consensus in the House of Lords on this issue and we look forward to the Government’s response to yesterday’s debate.”