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Labour Protect Advice Forum -> Labour Protect Advice Forum -> Employer wants to pass VAT costs on to me
Post Info TOPIC: Employer wants to pass VAT costs on to me
Anonymous

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Employer wants to pass VAT costs on to me
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I work inthe recruitment sector.  I earn a small basic salary and I am dependent on commission to make a reasonable living.  I recently made a shared placement with another agency - a sole practitioner who does not pay VAT. My employer took the brief from the agency and has, in fact, a longstanding relationship with the practitioner. She now tells me (just before my commission is due and long after all my work is done) that since she has to pay VAT it will be deducted from my fee.  Surely this is the cost of running a business and not something one passes on to one's employees?



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Anonymous

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Generally speaking, deductions from remuneration may only be made where (a) it has been agreed between the employer and employee that such deductions may be made or (b) where the law, a collective agreement, court order or arbitration award allows such deduction to be made.

 

Refer to your contract - if it makes specific reference to deductions of VAT, then it is legal.



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