HMRC’s information notice to a taxpayer in connection with his employer’s participation in a tax avoidance scheme was upheld but was varied because the information originally listed in the information notice was considered too extensive. 

During the tax year 2020/21, the appellant was employed by a company (ARL). HM Revenue and Customs (HMRC) believed that ARL was a promoter of an avoidance scheme in relation to some of its employees (‘the participating employees’) and had published details identifying ARL and setting out their understanding as to how the scheme operated. HMRC understood that the scheme operated broadly by splitting payments due to their employees into two components: (1) a salary equivalent to the national minimum wage (NMW); and (2) a component (a “commission to be paid under the Commission Plan”) as referred to in the employment contracts of the participating employees. PAYE and National Insurance