I am looking for some help on a question I have been asked, any input would be greatfully received.
I have a client who is in full time employment and all so works shifts in her local pub as a barmaid.
The income from the pub work is entered on her self assessment tax return each year as she completes one for other income which she receives so all tax and national insurance is paid on the wage received from the pub.
The pub has been taken over by a new land lord who is saying that all employees must now be put onto the books.
My client would like to keep things the same and declair the income on her tax return as she is happy to do it this way.
The question is...
Is there any legal reason why the landlord is adament that they must all go on the payroll, he is saying that it is due to employer national insurance requirements, but if my client is declaring the income on a self assessment all national insurance and tax will be paid on the income and it would save the employer money by not having to pay employer national insurance?
Your opinion on this matter would be kindly accepted