LOAN CHARGE

The government has ordered an independent review of the controversial 'loan charge' that sees thousands facing huge tax bills for using loanbased tax-avoidance schemes. Around 50,000 contractors per year must make income tax and national insurance contributions on up to 20 years of income within one financial year after entering disguised remuneration schemes. Scheme users were loaned money, usually by offshore trusts, in lieu of salary. The schemes were often set up on behalf of employers. Amyas Morse, former chief executive of the National Audit Office, will head the review and make his recommendations by mid-November. 12 Sep 2019

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