Iain Rankin outlines the upcoming changes to the IR35 legislation and discusses what it means for those temporary workers in the private sector.
Introduced in April 2000, the intermediaries (or ‘IR35’) rules refer to two sets of tax legislation designed to combat a situation whereby services performed via a personal services company (PSC) would be classified as standard employment if the intermediary company was removed from the equation. If so, the contractor is liable to pay PAYE and National Insurance contributions (NICs) as if they were an employee.
What does the future hold?
The new ‘off-payroll’ rules (widely known as ‘off-payroll tax’) has applied to public sector organisations since April 2017. The