Part 2

Employment income: charge to tax
CHAPTER 10

Workers' services provided through intermediaries to public authorities or medium or large clients

Consequences of providing fraudulent information
61V
1
Subsection (2) applies if in any case—
a
a person (“the deemed employer”) would, but for this section, be treated by section 61N(3) as making a payment to another person (“the services-provider”), and
b
the fraudulent documentation condition is met.
2
Section 61N(3) has effect in the case as if the reference to the fee-payer were a reference to the
relevant person (or if more than one, the first relevant person) in relation to whom the fraudulent documentation condition is met
, but—
a
section 61N(4) continues to have effect as if the reference to the fee-payer were a reference to the deemed employer, and
b
Step 1 of section 61Q(1) continues to have effect as referring to the chain payment made by the deemed employer.
3
Subsection (2) has effect even though that
may involve a services-provider
being treated as both employer and employee in relation to the deemed employment under section 61N(3).
4
“The fraudulent documentation condition” is that a relevant person provided any person with a fraudulent document intended to constitute evidence—
a
that the case is not an engagement to which this Chapter applies, or
b
that none of conditions A to C in section 61N is met in the case.
5
A “relevant person” is—
a
the services-provider;
b
a person connected with the services-provider;
c
if the intermediary in the case is a company, an office-holder in that company;
d
a person in the chain who is resident in the United Kingdom or has a place of business in the United Kingdom.
Words in s. 61V(3) substituted (with effect in accordance with s. 21(10) of the amending Act) by Finance Act 2021 (c. 26), s. 21(7)(b)
S. 61V(5)(d) inserted (with effect in accordance with s. 21(10) of the amending Act) by Finance Act 2021 (c. 26), s. 21(7)(c)
Pt. 2 applied (E.W.S.) (31.3.2017) by The Equality Act 2010 (Specific Duties and Public Authorities) Regulations 2017 (S.I. 2017/353), reg. 1(1), Sch. 1 para. 4(3) (with reg. 2(4)(5))
Words in s. 61V(2) substituted (with effect in accordance with s. 21(10) of the amending Act) by Finance Act 2021 (c. 26), s. 21(7)(a)
Pt. 2 Ch. 10 inserted (with effect in accordance with Sch. 1 para. 16 of the amending Act) by Finance Act 2017 (c. 10), Sch. 1 para. 9
Pt. 2 applied (with effect in accordance with s. 1329(1) of the amending Act) by Corporation Tax Act 2009 (c. 4), ss. 969(4)(a), 1329(1) (with Sch. 2 Pts. 1, 2)
Pt. 2 Ch. 10 heading substituted (with effect in accordance with Sch. 1 para. 25 of the amending Act) by Finance Act 2020 (c. 14), Sch. 1 para. 8 (with Sch. 1 paras. 30-34)