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IR35 Update: What is it?

You’ve no doubt heard about IR35 in the payroll and wider business news. But what is it and what does it mean? We’ve put together the key highlights to bring you up to speed.

 

HMRC Describe it as “Off-payroll working rules for clients, workers and their intermediaries”.

IR35 is looking to establish clarity between subcontractors and those who should be employed directly or through umbrella payroll.

The new ruling, coming into effect on 6th April 2020 seeks to bring national insurance and tax payments from those employed directly and those employed through an intermediary (such as their own limited company) in line so people are broadly paying the same.

IR35 will be in place on 6th April and you need to be sure you’re ready for it.

If you’re a worker who provides your services through your own intermediary (such as your own limited company), or you are an agency provides workers services through an intermediary, you’ll need to take action to ensure you’re compliant.

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.