Budget represents missed IR35 opportunity, says PCG

Date: 4th April 2011

The coalition government's failure to use the Budget to abolish the IR35 tax legislation is disappointing, it has been claimed.

Industry body PCG has voiced its disapproval that chancellor George Osborne and the Office of Tax Simplification failed to act on its proposals.

However, the organisation has promised the UK's contractors that it will continue to fight to see the controversial legislation repealed.

In an open letter by Chris Bryce, PCG chairman, the group claimed the end of IR35 is vital if freelancers are to be able to work in the UK without the threat of IR35 "hanging over them".

"PCG has campaigned tirelessly for the repeal of IR35 since that ill-conceived legislation was introduced. We believe it to be fundamentally flawed and that it should be abolished forthwith," he commented.

"Remember, it will always be PCG's aim that IR35 is abolished, but whilst it's still there we must fight to ensure that our members and all genuine freelancers are free to do business without the burden of IR35 hanging over them."

Posted by Emily Smith