What a start to 2012! Our claims' advisers, Abbey Tax Protection, have reported a 40% increase in tax investigations insurance claims of all types across their client base when compared with January 2011 with the number of claims in January 2012 reaching 100% up on January two years ago.  But this is not a flash in the pan, because claims for the whole of 2011 were 37% higher than in 2010.

For PCG members the message is to be aware that claims are taking place and that many relate to the additional support offered by Plus membership, for matters as diverse as HMRC Compliance Visits to loss of income for jury service attendance and agency default.

For over ten years PCG, the biggest organisation representing the UK’s growing army of freelancers, has been calling on government to introduce honesty and transparency when dealing with tax issues concerning freelancers and contractors.

PCG Chairman Chris Bryce said:

“The case of Ed Lester is sure to raise claims of hypocrisy and accusations of double standards. On one hand it appears HMRC and senior politicians have been prepared to rubber stamp Mr. Lester’s deal, while with the other they are spending taxpayers’ millions pursuing genuine freelance workers.

Responding to a comment piece by journalist John Harris, which questions the recent growth in self-employment, PCG Managing Director John Brazier has written a letter to the Guardian newspaper defending the UK's 1.6 million freelancers.