Saxonside Limited

• Promotor of Scheme: Saxonside Limited (SAX)
• Connected: Saxonside Limited (SAX), Omni Contractors PCC Limited (OCP), Adam Fathers (director of SAX), Kirsty LeMarechal (former director of OCP)
• Address: Saxonside Limited: Centaur House, Ancells Road, Fleet GU51 2UJ / Omni Contractors PCC Limited: 2nd Floor, Murdoch Chambers, South Quay, Douglas, IoM, IM1 5AS
• Publication Date: 31 August
• Scheme Reference Number (SRN) and date it was allocated: 92439361, 6 April 2022
• HMRC’s Scheme Description: “The scheme users enter into an employment contract with SAX and receive a share in OCP, a separate, protected cell company. The share is unique to the scheme user’s name. SAX pay the scheme user a National Minimum Wage (NMW) salary through the payroll and OCP makes an additional payment that is allegedly for the growth in the share’s value. This is paid without Income Tax and National Insurance Contributions deductions (NICs). SAX alleges that the payment will later be subject to capital gains tax (CGT), and they retain an amount that they will allegedly release back to scheme users to cover any future CGT liability. Scheme users retain around 71 to 73% of the expected gross contract value.”

Saxonside Limited – more details

The HMRC website states the scheme operates as follows:

1. The scheme users enter into an employment contract with Saxonside Limited (SAX) and are issued a share in the cell in Omni Contractors Limited (OCP) that is unique to the scheme user.
2. Scheme users submit timesheets to SAX who then invoice the agency or end client for the work done.
3. SAX retains approximately 10% of the invoiced amount, which is allegedly for covering any capital gains tax (CGT) the scheme user may be liable to in relation to the share. SAX claim they will return this amount to the scheme user when their CGT liability is confirmed.
4. SAX retains a further amount of around 18% to 21% and pay the scheme user a National Minimum Wage salary.
5. OCP pays the scheme user a separate amount without deductions for tax and National Insurance contributions. This supposedly represents the increased share value held in OCP.

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