Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

Taxpayer wins IR35 case

28 July 2011
Issue: 4315 / Categories: Tax cases , IR35 , Employees , Income Tax
Marlen Ltd (TC1264)

The taxpayer company was incorporated in 1989 to provide via agencies the engineering services of H who was the sole director and shareholder.

In 2002 Marlen registered with an agency DDC Precisions through which H worked for JCB.

HMRC ruled that these engagements should be subject to the IR35 rules and issued determinations for income tax and National Insurance for the relevant years. The company appealed.

The First-tier Tribunal reviewed the evidence. The judge concluded that H was a member of a team that consisted of employees and contractors: just because they were part of a team did not mean  they all had to have the same employment status.

Looking at the terms of the relationship between H and JCB the judge noted the main aspects that indicated H was not an employee.


If you or your firm subscribes to, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or '' for further assistance.

back to top icon