Reply To: What is your tax opinion on agency contract work?

All offshore personnel working for Seatechs are paid via Seatechs (Guernsey) Ltd, and get the option to be PAYE or Gross, obviously if you are PAYE tax and NI are deducted, paid to HMCR and reflected in your payslip, if you are gross, then all tax and NI contributions are your responsibility, unless you are in Norway, then it also becomes our responsibility, but it is your choice which way you want to go, PAYE or gross. We have never had a problem with UK tax deductions from either the Taxman or the employees.
I don’t fully understand what the issue is here!! if you are PAYE you are exactly what it says, Pay As You Earn, we’ve always found it very simple, as a company, we are legaly obliged to make the deductions from any PAYE employee, so unless other agencies are not working to and paying as per HMCR regs i can’t see why there should be any problems.

OK. Does this also mean that Seatechs pay employers NI contribution? This is what I believe in the eyes of HMRC make you the employer. The issue here is that a lot of guys thought they were PAYE with UKPS as they (UKPS) were deducting tax and employees NI but were not paying employers NI.