In Northern Lights Solutions Ltd v HMRC [2020] UKFTT 100 (TC) (18 February) the FTT found that the taxpayer was part and parcel of the client organisation and that his services were provided as an employee.
The appellant company (NLS) was the personal service company of Mr Lee (L). Its business consisted of supplying L’s services. Since its incorporation in 2008 NLS had engaged with Nationwide via a number of fixed-term contracts to provide L’s project management services. It had also engaged with several other intermediaries to provide L’s services to the building society. Apart from a few gaps L had worked for Nationwide on a full-time basis in substantially the same project management role for several years.
The principal question was whether L should be treated as an employee of Nationwide for the purpose of the IR35 rules i.e. whether the intermediaries legislation applied...
