PG电子

CTA09/S1128

The definition of externally provided workers is based on the income tax rules for agency workers at Section 44 Income Tax (Earnings and Pensions) Act 2003 which require staffing providers to operate PAYE in relation to individual workers supplied to clients. The main difference is that the externally provided worker rules also apply where the worker is an employee of the staff provider.

A person is an externally provided worker in relation to the claimant company if the following conditions are satisfied:

A.听听听听听 The worker is an individual (not a company)

B.听听听听听 The worker is not a director or employee of the company

C.听听听听 The worker personally provides, or is under an obligation personally to provide, services to the company

D.听听听听 The worker is subject to (or to the right of) supervision, direction or control by the company as to the manner in which those services are provided

E.听听听听听听 The worker鈥檚 services are supplied to the company through a staff provider (whether or not he or she is a director or employee of the staff provider or staff听 controller or any other person)

F.听听听听听听 The worker provides, or is under an obligation to provide, those services personally to the company under the terms of a contract between the worker and a听person other than the company (the 鈥渟taff controller鈥�).

G.听 听 听 听The provision of those services does not constitute the carrying on of activities contracted out by the company, see CIRD160000听and following

Condition B may be relevant in groups of companies where the staff provider or staff controller is in the same group as the claimant company and an individual is a director or employee of both companies. The individual cannot be an externally provided worker for the claimant company because of point B, but his normal staff costs (as defined by CTA09/S1123) paid by the R&D claimant may qualify for R&D relief, see CIRD133000.