Income Tax (Earnings and Pensions) Act 2003 section 61U

Information to be provided by worker or intermediary and consequences of failure

Section 61U requires workers (or their intermediaries) to tell the potential deemed employer whether certain qualifying conditions apply to their engagement, and sets out what happens if they fail to do so.

• The worker must inform the potential deemed employer whether any of the qualifying conditions (conditions A to C) relating to the intermediary are met for the engagement
• If the worker fails to provide this information, the intermediary becomes responsible for doing so instead
• If neither the worker nor the intermediary complies, the law automatically treats one of the qualifying conditions as being met — triggering deemed employment tax treatment
• The "potential deemed employer" is the person in the chain who would be treated as making a deemed direct payment to the worker if one of the qualifying conditions were satisfied