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Redline Group Release Contractor Guide to Off-Payroll (IR35) Compliance

14/01/20 Peter Livingstone Director of Contracts & Interim

IR35 Off-Payroll Contractors GuideRedline Group Release Contractor Guide to Off-Payroll (IR35) Compliance

In the summer of 2019 Redline released an update to its guide Reform to Off-Payroll Compliance in the Private Sector following the initial summary of responses from HM Revenue & Customs (HMRC) in light of concerns raised by professional bodies about the proposed tax reform and draft legislation for IR35 reform in the private sector. The plans make medium and large companies responsible for determining the tax status of the contractors they engage from 6th April 2020.

Off the back of this draft legislation outlining HMRC’s specific intentions, Redline has now released its complimentary Contractors Guide to Off-Payroll (IR35) in the Private Sector.

Understanding what legislative changes mean for a Contractor.

This free guide is designed to help navigate Contractors through the minefield of IR35 and the often misunderstood tax rules which, if administered incorrectly, can carry large financial penalties. The guide helps them understand where they stand with the changes and what best practices they should maintain to keep their businesses compliant.

What is in the guide?

Broken down into easily digestible sections, the guide is a no-nonsense, no-jargon, go-to document to understand the changes shortly coming into effect.

The guide covers the following:

What does IR35 mean for Contractors – are you ‘inside’ or ‘outside’?
How is IR35 status to be determined?
HMRC ‘CEST’ status checker tool.
Top tips and frequently asked questions.

Who should download it and why?

If you are a Contractor, own your own Limited Company and receive dividend income, Redlines Contractor Guide to Off-Payroll (IR35) will explain not only IF you will be affected but how and what you can do to stay compliant and limit any negative impact on your business.

Peter Livingstone, Director of Contracts & Interim at Redline Group comments: “Redline’s approach has been to continually raise awareness of the impending changes to clients and contractors alike so there in the best position to navigate the new tax regime. It’s worth bearing in mind that while HMRC estimates a third of contractors could be affected by IR35 changes, it’s critical that every contractor has their status assessed thoroughly and fairly. Despite the original request by industry authorities to delay implementation of the changes until 2021, HMRC has confirmed that the new Off-Payroll (IR35) rules will be in force in April 2020 as planned.

Even if you are not a Contractor but a business that works with self-employed (Ltd) parties or an intermediary that helps place them, this guide will help answer any questions before the regulations take effect.
It’s worth remembering that the contracting industry has survived many changes of legislation over the past two decades – many predicted the demise of the profession when IR35 was first mentioned in 1999. This never happened. However, the extension of the off-payroll rules to the private sector is, without doubt, the most fundamental change to the operation of Off-Payroll (IR35) since its inception.”

Click here to download the guide for free, or if you have any questions which are not covered in the guide, please email ir35@redlinegroup.com.