HM Revenue and Customs (HMRC) are advising users of the named schemes promoted by Charteris Management Ltd (CML) to withdraw from them.
These schemes often targeted physiotherapists, radiographers, and nurses, and often wrongly promise avoidance of National Insurance and Income Tax.
The scheme users enter into an employment contract with Charteris Management Ltd (CML), providing their services to end clients through CML, sometimes via an agency. The scheme users may also sign a separate contract with a second party at the same time. CML will invoice the end client or agency for the work and, after deducting a fee, pay the scheme user a salary at, or just above the National Minimum Wage and then pay the remaining funds to the second party.
CML claim the payment to the second party is an “introducer fee”. This is not the case and these payments can clearly be seen as the balance of the amount the user raises on the timesheet they send to CML, most of which is to be paid on to the user by the second party and the rest retained by the second party as a fee. Tax and National Insurance contributions have not been paid on this second payment to the user.
HMRC advise users to withdraw from this scheme.
PAYadvice.UK 20/12/2022