The City of London Law Society has written to HMRC and to the House of Lords Economic Affairs Committee expressing “grave concerns” about reforms to limited liability partnerships claiming the clampdown will harm honest law firms, which are being vilified for setting up legal and transparent partnerships. Under the reforms salaried partners will be considered employees of the partnership, meaning that they and their partnership will have to pay employment taxes. This, the society argues, would put LLPs at a disadvantage to traditional partnerships. George Osborne alleges that some LLPs “disguise” partners as self-employed when they are fully employed to avoid paying taxes.