Section 61TA | Duty for client to withdraw status determination statement if it ceases to be medium or large ^F1F2

(1)This section applies if in the case of an engagement to which this Chapter applies—^F1F2

(a)the client is not a public authority,^F1F2

(b)the client gives a status determination statement to the worker, the client's agent or both, and^F1F2

(c)the client does not (but for this section) qualify as medium or large for a tax year beginning after the status determination statement is given.^F1F2

(2)Before the beginning of the tax year the client must give a statement to the relevant person, or (as the case may be) to both of the relevant persons, stating—^F1F2

(a)that the client does not qualify as medium or large for the tax year, and^F1F2

(b)that the status determination statement is withdrawn with effect from the beginning of the tax year.^F1F2

(3)If the client fails to comply with that duty the following rules apply in relation to the engagement for the tax year—^F1F2

(a)the client is to be treated as medium or large for the tax year, and^F1F2

(b)section 61N(3) and (4) have effect as if for any reference to the fee-payer there were substituted a reference to the client.^F1F2

(4)For the purposes of subsection (2)—^F1F2

(a)the worker is a relevant person if the status determination statement was given to the worker, and^F1F2

(b)the deemed employer is a relevant person if the status determination statement was given to the client's agent.^F1F2

(5)In this section—^F1F2

“client's agent” means a person with whom the client entered into a contract as part of the arrangements mentioned in section 61M(1)(c);

“the deemed employer” means the person who, assuming one of conditions A to C in section 61N were met, would be treated as making a deemed direct payment to the worker under section 61N(3) on the making of a chain payment;

“status determination statement” has the meaning given by section 61NA.