Tax arrangements in the public sector

Back in January 2012 the government announced that it would review the tax arrangements of public sector appointees. The results were published in May, and, broadly speaking, the review proposes that senior public sector staff should be ‘on payroll’. The review identified that more than 2,400 senior staff in the public sector are paid through off payroll arrangements (such as personal service companies), and the findings highlight a lack of transparency around the tax arrangements of key public sector appointees.