Company fined millions for NI failings

Sat, 23 Nov 2013

Island businesses which are employing staff in the United Kingdom have been warned to make sure they are paying the correct National Insurance contributions.

It comes after a local company ended up with a bill of £3.2 million for not doing so.

Penfolds Limited was licensed on the Isle of Man as an employment business but employed individuals who were neither resident nor employed in the Isle of Man.

The company broke the reciprocal Social Security Agreement between the Island and the UK resulting in a court case.

Treasury Minister Eddie Teare says help is available to any companies who don't fully understand the regulations: