Boyle was a First-tier Tribunal decision on a ‘contractor loan’ scheme of the kind currently being challenged by HMRC, in which an offshore company provided an individual’s services to an end user for a commercial fee paid to the individual as a combination of salary and soft-currency loans. HMRC succeeded in arguing that the amount received by way of ‘loan’ was in fact taxable as employment income. An alternative argument that the arrangements were caught by the ‘transfer of assets abroad’ provisions was also upheld by the tribunal. An alternative argument that the arrangements were caught by the transfer of assets abroad’ provisions at ICTA 1988 s 739 (now ITA 2007 s 720) was also upheld. The tribunal decision suggests that it is those provisions which are potentially relevant to a much broader range of ‘contractor loan’ schemes.
