All construction businesses must fully understand
the tax status of their contractors, says Shimon
Shaw.
Anyone who operates a substantial construction business will
almost certainly have a number of specialists working for
them.
In theory, one of the simplest questions someone running
such a business should be: "Are you their employer or are
they self-employed?" However, it is only too easy for the
lines between employment and self-employment to become blurred
– this can then create real problems for both the
employer and the people they engage.
Legal Implications
There will be employment law implications of finding one way
or the other, which will affect the rights and responsibilities
of both parties to each other, including the statutory rights
of employees, for example in the context of unfair
dismissal.
