[UK] HMRC Releases Enhanced Check Employment Status for Tax Tool (CEST)

With off-payroll working in the private sector a likelihood from April 2020 (depending on inclusion in a Finance Bill), employers will be interested to know that HMRC have released an enhanced and updated version of the CEST tool.

In the disclaimer, HMRC say that they will “stand by” the results of the tool, providing the information provided was checked and entered accurately.  Further, it will not standby the results where employers have contrived the information in order to get a particular outcome.  They will regard this as deliberate non-compliance which may attract higher penalties.

Whilst the Global Payroll Association welcomes this updated tool, employers / engagers are strongly advised to read the CEST guidance contained within HMRC’s Employment Status Manual.   

With off-payroll working in the private sector a likelihood from April 2020 (depending on inclusion in a Finance Bill), employers will be interested to know that HMRC have released an enhanced and updated version of the CEST tool.

In the disclaimer, HMRC say that they will “stand by” the results of the tool, providing the information provided was checked and entered accurately.  Further, it will not standby the results where employers have contrived the information in order to get a particular outcome.  They will regard this as deliberate non-compliance which may attract higher penalties.

Whilst the Global Payroll Association welcomes this updated tool, employers / engagers are strongly advised to read the CEST guidance contained within HMRC’s Employment Status Manual.