Changes to IR35 rules confirmed

HM Treasury has published the results of its review into changes to the off-payroll working rules, commonly referred to as ‘IR35’.

In a widely expected move, the Government had confirmed it will press ahead and implement these changes from 6th April 2020.

The reform will see the responsibility to determine whether a contractor falls within the IR35 rules pass from the contractor to the engager or agency. Where the relationship is deemed to be within IR35, the engager would be responsible for operating PAYE on payments made to the contractor.

The Government has made several minor tweaks to the rules and provided some additional clarification:

The full HM Treasury review can be read here.

At TaxAssist Accountants, we can help you understand what these changes mean for you and help you decide what action to take. We can help you understand how these changes will affect your tax position, help you understand the off-payroll determination process, as well as help you choose what to do with your limited company.

If you have decided to close down your limited company, we can help advise the best strategy to follow.

If you would like to discuss this matter further, please do not hesitate to contact us on 0203 457 3737 or use our online enquiry form.

Last updated: 25th September 2020