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IR35 is tax legislation that was introduced in July 2000 to address tax avoidance by individuals supplying their services through an intermediary

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IR35 is tax legislation that was introduced in July 2000 to address tax avoidance by individuals supplying their services through an intermediary (such as a Personal Service Company) who may not be paying the appropriate levels of employee income tax and national insurance contributions.Following the government&rsquo;s decision in early 2020 to delay the implementation of the reforms to the off-payroll working rules (known as IR35) due to the Covid-19 impact, the legislation took effect from April 2021.Prior to 6th April 2021, it was&nbsp;the contractor's&nbsp;responsibility&nbsp;to decide if the IR35 Rules applied&nbsp;to their engagement.From 6th April 2021, the responsibility for determining the employment status of engagement shifted to the Hirer or end Client.This means that now Clients will need to decide on the IR35 status of an assignment and the determination will be one of Inside or Outside IR35.CBSbutler have a comprehensive understanding of the legislation and we welcome an opportunity to help you navigate your way through Off-Payroll working rules.

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