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Reform to Off-Payroll (IR35) Compliance in the Private Sector

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Preparing and leading your organisation for legislative change

The Government will reform the off-payroll working rules (known as IR35) in the private sector. This follows consultation and the roll out of reform in the public sector. Responsibility for operating the off-payroll working rules will move from individuals to the organisation, agency or other third party engaging the worker. To give people and businesses time to prepare, this change will not be introduced until April 2020.

What is the Off-Payroll (IR35) rules?

The off-payroll rules, often known as IR35 or the Intermediaries Legislation, extends back to the Finance Act which came into effect in April 2000 and focuses on compliance of off-payroll working. IR35 is a set of tax rules that apply if you work for a client through an intermediary – which can be a limited company or “personal service company” which is how many contractors operate.

It was announced as a part of the Government’s aim to improve the collection of tax and National Insurance Contributions (NICs) from workers who owned their own limited companies, also referred to as Personal Service Companies (PSCs).

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Redline offer knowledge-led, tailor-made recruitment programmes to suit clients’ specific needs. We adopt a ‘partnership’ approach to ensure a detailed understanding of clients’ objectives and requirements. For more information regarding how we can help your business, please contact Peter Livingstone, Director of Contracts & Interim on 01582 878852 or email PLivingstone@RedlineGroup.com