HMRC has added a new Spotlight 41 to the list of tax avoidance arrangements of particular interest to them.  The new Spotlight relates to the recent Supreme Court decision in the so-called Glasgow Rangers EBT case, which held that payment to sub-funds of an EBT which could benefit employees were “indirect” earnings and subject to tax and PAYE and national insurance contributions at the time that they were paid to the EBT.

The Spotlight states that HMRC consider that the principle discussed in the Rangers case is of application to a wide range of disguised remuneration arrangements including other EBT arrangements, remuneration routed through a employer-funded retirement benefit trust and a range of contractor loan schemes.

HMRC advise anyone who thinks they might be using or benefitting from such a scheme to try to settle their tax affairs with HMRC or they might become subject to follower notices and accelerated payment notices.