Personal Service Companies

Part of Oral Answers to Questions — Treasury – in the House of Commons at 12:00 am on 25th January 2001.

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Photo of Dawn Primarolo Dawn Primarolo Paymaster General (HM Treasury) 12:00 am, 25th January 2001

I take that point and will rephrase those words, given the sensitive nature of our comments at present. It is recognised in the press.

So the hon. Member for Guildford (Mr. St. Aubyn) point first, that IR35 hits IT workers, is not true; and secondly, that it discourages entrepreneurs, is not true because the Government's policy has encouraged them. It ensures that those people working in the same conditions are subject to the same tax. It is not a stealth tax; it ensures that people pay the tax that they should have been paying all along.