Process of Analysing Reduction in Corporation Tax as a Result of IR35/Offpayroll

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Dear HM Revenue and Customs,

IR35/Offpayroll naturally results in a reduction of Corporation Tax collected by HMRC as contractors move from working through Limited companies to working PAYE via an umbrella.

Please can you detail what methods or measurements you use to determine the reduction in Corporation Tax due to this phenomenon. That is, I wish to understand what tools you have available to be able to separate contractor Corporation Tax from the other taxes you collect, and so then be able to measure the difference in total tax take from that segment, or the number of payers in that segment, etc. Whatever other information you have would also be most welcome, but in this request I'm really after the methods and processes you have rather than any particular numbers.

Yours faithfully,

Ralph Bolton

FOI Team, HM Revenue and Customs

Our ref: FOI2021/05070

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1 Attachment

Dear Mr Bolton,

We are writing in response to your request for information, received 19

Yours sincerely,

HMRC Freedom of Information Team