Whilst the change still means that plans need to be in place in the new financial year to ensure compliance with IR35, this welcome news from HMRC provides clarity, a level of certainty - and importantly, more time to prepare.
In a highlight from the news ”The rules, also known as IR35, will now apply only to payments made for services provided on or after 6 April 2020. Previously, the rules would have applied to any payments made on or after 6 April 2020, regardless of when the services were carried out. It means organisations will only need to determine whether the rules apply for contracts they plan to continue beyond 6 April 2020, supporting businesses as they prepare.”
This information stands alongside other HMRC resources to help navigate the classification of workers and your obligations as a recruiter, contractor or worker.
If you’re unsure what the IR35 changes mean to you and want to ensure you’re compliant with your payroll solution, it’s important to seek advice sooner rather than later.
We’ll be highlighting different aspects of IR35 over the coming weeks to help you prepare for the changes. Want to know more? Speak to us today.