Bloomberg Tax
Free Newsletter Sign Up
Login
BROWSE
Bloomberg Tax
Welcome
Login
Advanced Search Go
Free Newsletter Sign Up

U.K. Mulls Withholding Taxes to Deal With Risks of Gig Economy

March 23, 2020, 5:37 PM

The U.K. is mulling the use of withholding taxes to reduce the risk of tax-filing errors or under-reporting by self-employed individuals.

Her Majesty’s Revenue and Customs said Monday it is “exploring the scope for greater use of withholding, which is already a core feature of the U.K. tax system.” The decision comes in response to a set of October recommendations by the government spending watchdog, the Public Accounts Committee.

  • HMRC gave as an example its continuing work to develop a value-added tax “split method,” in which a bank or payment intermediary would withhold part of the VAT due on ...