HM Revenue and Customs (HMRC) are aware of 15 contractors who have used disguised remuneration (DR) schemes while engaged either by the department or by Revenue & Customs Digital Technology Services (RCDTS). In each of the cases, the contractors were engaged via an agency or a company providing a service.
HMRC do not engage in, or enter into, disguised remuneration schemes. It is possible for a contractor providing services to HMRC to use a disguised remuneration scheme without the department’s knowledge or participation. Where HMRC become aware of a contractor who is using a disguised remuneration scheme, they take robust compliance action, including the immediate termination of the engagement. Any contractor identified in the course of HMRC’s compliance work as a scheme user would be investigated in the same way as any other contractor.