A technical consultation on the draft legislation has now closed and we await the final legislation, expected around November 2019. We are also waiting for draft legislation on the transfer of liability rules. Meanwhile have updated our guidance on the changes.
There is an exemption for clients which are small companies. This exemption does not apply to agencies which are also small companies.
We are currently updating the template contracts but we cannot release these until we have the final legislation.
New IR35 Guide including flowcharts and top tips below
We have already run 15 seminars throughout the UK. The final seminar for 2019 will be in Cambridge on 20 November. We will also run additional seminars and webinars in 2020. Please see IR35 seminars for further details.
Tax avoidance schemes: In anticipation of the changes some intermediaries may approach recruitment businesses with ‘solutions’ to the changes. Some will be legitimate, others won’t be. HMRC have issued a number of Spotlights about schemes used to reduce temporary workers’/ contractors’ tax and NICs and which HMRC considers do not work. These include paying contractors via loan (now subject to the loan charge), annuity and loyalty points for advertising the contractor’s services on a jobs board. When engaging with any intermediary, members should fully understand the arrangements used to pay those temporary workers/ contractors. Please note that HMRC do not endorse any “solutions”, companies or assessment tools.
IR35 support for the 2020 changes
REC's response to the IR35 consultation - May 2019