Establishing employment status—from a tax and NICs perspective
Produced in partnership with Anne Redston
Establishing employment status—from a tax and NICs perspective

The following Tax practice note produced in partnership with Anne Redston provides comprehensive and up to date legal information covering:

  • Establishing employment status—from a tax and NICs perspective
  • The contract
  • Is the written contract decisive?
  • The position for most contracts
  • Contracts between engagers and individuals
  • What are the consequences of
  • and
  • ?
  • The Check Employment Status for Tax (CEST) tool
  • Recategorisation by HMRC
  • More...

Coronavirus (COVID-19): in light of the coronavirus crisis, the government has announced temporary measures to support both the employed and the self-employed. For more detail on the support for the employed, see Practice Note: Coronavirus Job Retention Scheme (original version to 30 June 2020), and for more detail on the support for the self-employed, see Practice Note: Self-Employment Income Support Scheme.

This Practice Note has been written by Anne Redston, Barrister. It is her personal view; she is not authorised to speak for the Tribunals Service or the judiciary.

This Practice Note explains how to work out whether a person is employed or self-employed. It considers the National Insurance contributions (NICs) deeming rules, the contractual relationship between the parties, HMRC status determinations, together with how these can be challenged, and HMRC’s Check Employment Status for Tax (CEST) tool. This Practice Note should be read with Practice Note: Employment status tests—from a tax and NICs perspective. The reasons why status is important is explained in Practice Note: Employment status—why it matters.

Remember that this Practice Note, and the other Practice Notes on employment status, are only a summary of the applicable law and do not cover all situations. HMRC may also take a different approach to workers in the entertainment industry, including film, theatre, TV and radio and musicians, and that approach is not covered in this Practice

Popular documents