"Non-dom" employees – dual contracts

Posted: 8th May 2012

CostasDual or multiple employment arrangements are popular with foreign domiciled employees whose duties are performed partly in the UK and partly outside the UK.
HM Revenue and Customs (HMRC) have concerns, however, that such arrangements do not always reflect the commercial reality of the situation and will investigate where they have suspicions that the legislation is being exploited.
HMRC have now issued guidance on what documents employers and employees are expected to retain and make available in response to their enquiries into dual contracts of employment and on HMRC’s technical and policy interpretation of ‘merely incidental’ duties in this context.
This includes lists of the types of activity that are likely to be considered merely incidental and those that are not and examples of situations in each category.