Discussion
AIUI the rules haven't changed. What's changed is that, in the Public Sector, the onus has moved from the contractor declaring his IR35 compliance to HMRC, to the end-client (be that a recruitment agency or HM Gov) having to be satisfied of the contractor's IR35 status. Which possibly means public sector clients will probably just say "sod it, too much hard work, they're all IR35 caught", and recruitment agencies will say "sod it, too much hard work, they have to operate under a brolly". There is only one rule that will automatically catch a contractor and that's the 'operating as an officer' one.
Anyway, you're asking about the ESS Employment Status Service which isn't available yet. Latest release date is end of March, which is handy for the April changes.
Anyway, you're asking about the ESS Employment Status Service which isn't available yet. Latest release date is end of March, which is handy for the April changes.
Eric Mc said:
I don't think the status checks/tests will be any different - although the interpretations may be stricter.
From my limited understanding it will be the PSB that will determine the contractor's / worker's status and force agencies to deduct PAYE, NI etc..........not sure how many in house IR35 experts PSB's employ so assume they would err on the safe side but I am not sure how a ‘genuine’ contractor would prove that they fall outside IR35 if incorrectly assessed.bigandclever said:
AIUI the rules haven't changed. What's changed is that, in the Public Sector, the onus has moved from the contractor declaring his IR35 compliance to HMRC, to the end-client (be that a recruitment agency or HM Gov) having to be satisfied of the contractor's IR35 status. Which possibly means public sector clients will probably just say "sod it, too much hard work, they're all IR35 caught", and recruitment agencies will say "sod it, too much hard work, they have to operate under a brolly". There is only one rule that will automatically catch a contractor and that's the 'operating as an officer' one.
Anyway, you're asking about the ESS Employment Status Service which isn't available yet. Latest release date is end of March, which is handy for the April changes.
Thanks Anyway, you're asking about the ESS Employment Status Service which isn't available yet. Latest release date is end of March, which is handy for the April changes.
alfie2244 said:
Eric Mc said:
I don't think the status checks/tests will be any different - although the interpretations may be stricter.
From my limited understanding it will be the PSB that will determine the contractor's / worker's status and force agencies to deduct PAYE, NI etc..........not sure how many in house IR35 experts PSB's employ so assume they would err on the safe side but I am not sure how a ‘genuine’ contractor would prove that they fall outside IR35 if incorrectly assessed.Eric Mc said:
alfie2244 said:
Eric Mc said:
I don't think the status checks/tests will be any different - although the interpretations may be stricter.
From my limited understanding it will be the PSB that will determine the contractor's / worker's status and force agencies to deduct PAYE, NI etc..........not sure how many in house IR35 experts PSB's employ so assume they would err on the safe side but I am not sure how a ‘genuine’ contractor would prove that they fall outside IR35 if incorrectly assessed.Alex said:
Will read in depth later thanks.Could mean rates going up or sticking to private sector only if someone in a PSB takes the easy option.
jammy-git said:
Alex said:
I think all contractors should refuse PSB contracts until HMRC drop the idea. I wonder how long they would last...
The contractors or HMRC? daemon said:
Mines coming up as a pass. Not that it matters as the agency i am working for have blanket deemed us all IN IR35, so unless that stance changes i will be jumping ship come 17th March (i'm paid weekly)
From the limited research I have done I think there are various options, notwithstanding certain factors not being covered by the test that could be argued, if included, would support a claim of being outside IR35 (which we genuinely think we are IMO).Also have the added option of not doing Public sector work at all but existing contracts require 28days notice so need to decide where we go before 5th March.
Definitely won't be shutting Ltd co down to work via an umbrella company as has been suggested (not on here).
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