Travelepenses

Term Time Teachers Ltd do not work with Umbrella Companies. We have spoken with our Tax Advisors who clearly inform us that we are to continue to refuse to pay via this method.  We are aware that some supply teachers who work for a teacher supply agency are employed via an Umbrella Company.  If you are on supply and are currently working for an Umbrella Company please note that Term Time Teachers Ltd with only provide standard PAYE.  Please also note the following information provided by Inland Revenue;

Tax relief for travel expenses: temporary workers and overarching contracts

This consultation document seeks to expand and test the Government's analysis of those structures using overarching employment

contracts -umbrella companies and employment agencies in terms of the size of the sector, their role within the wider labour

market and the extent of the problems arising from the use of these structures.

Umbrella companies and some employment agencies make use of overarching employment contracts which enable some temporary

workers to gain tax relief for travel expenses not available to others working in similar circumstances. There is also evidence of

widespread abuse of the travel expenses rules by these structures. Noncompliance and the use of these structures to pay less income tax and national insurance contributions (NICs) lead to a loss to the Exchequer, as well as further problems.

(For details on the full consultation document see http://www.hmtreasury.gov.uk/media/F/2/travelexpenses_210708.pdf)