Collection

Disguised remuneration tax avoidance schemes

Find out how to recognise disguised remuneration tax avoidance schemes and settle your tax affairs with HMRC.

The government announced a new independent review of the Loan Charge at Autumn Budget 2024.

The terms of reference for the review have now been published by the government.

The review commenced on 23 January 2025 and will be led by the reviewer and his team, independent of government and HMRC.

HMRC has also published an update on operational activity during the review, now the terms of reference have been published.

Disguised remuneration tax avoidance schemes aim to avoid paying Income Tax and National Insurance contributions by paying part or all of your pay as a:

  • loan
  • salary advance
  • grant
  • annuity

These payments are claimed to be non-taxable, often without explanation.

Settlement terms

The 2020 settlement terms allow you to settle your use of a disguised remuneration scheme.

Issue briefing

Guidance

Find out more on how to settle your tax affairs, and how to report and pay the disguised remuneration loan charge.

Identifying tax avoidance schemes

Changes to the loan charge

Updates to this page

Published 7 November 2017
Last updated 27 January 2025 + show all updates
  1. Page updated to reflect the recent publication by the government of the terms of reference for the new independent review of the Loan Charge.

  2. Page updated to reflect government's announcement that there will be a further independent review of the loan charge.

  3. Disguised remuneration: tax avoidance by selling future business revenues to a revenue service trust (Spotlight 57) added to the collection.

  4. The guidance 'Apply for a refund or waiver from the Disguised Remuneration Loan Charge Scheme 2020' has been added to the page.

  5. First published.