Does my IR35 Status Affect my Ability to Claim Expenses?
Yes. Working through your PSC when captured prevents you from claiming travel and related subsistence costs.
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Is an Umbrella Company the only Option if i’m Captured by IR35?
No. If you are captured by IR35 there are number of options available to you, including working through your company or going on the payroll of the agency or the end hirer. You need to consider which of the options available best suits your circumstances.Do I need to Close my Limited Company Down if I am Captured by IR35?
No. There are many different options available to contractors captured by IR35 for their current contract. Depending on your circumstances, closing your limited company down may be a preferable option, but it is not essential.Can my End Hirer take a Blanket Ban Approach to Working with PSC’s?
No. The IR35 changes introduced in April 2021 oblige end hirers to take ‘reasonable care’ when assessing IR35 status. If reasonable care has not been taken when determining a contractors IR35 status, then the end hirer may incur fines with HMRC.Can I Still Work Through a Limited Company if I am Captured by IR35?
Yes. You can work through your limited company (PSC) or under an umbrella company. You may wish to seek guidance as to which will be the best solution for you.How often should I have an IR35 Status Assessment?
IR35 status assessments are required every time you engage with a new contract or make a change to your contract. But we recommend undertaking an independent IR35 status assessment through Brookson Legal if you disagree with your end hirers process and outcome.What is Reasonable Care and how does it Impact my Assessment?
IR35 legislation states that an end hirer must take ‘reasonable care’ in assessing all contracts, to establish whether the individual would be seen an employee when carrying out the necessary work. If they fail to take reasonable care, the end hirer will be responsible for calculating the deemed direct payment, paying it over and reporting the tax and NICs that result.What is an SDS? – (Status Determination Statement)
An SDS or status determination statement, is a document that summarises an end hirers IR35 assessment for a specific contractor. It determines whether they fall inside or outside IR35, and therefore how they will be paid and taxed.What is CEST?
CEST is an online tool HMRC have created to help companies establish whether or not a particular contract falls within IR35.Has the Way IR35 is Measured Changed?
No. The changes to IR35 legislation in effect from April 2021 affect who is responsible for assessments, not the way they are assessed.