Posted-on February 2021 By Amy Bates
On April 6th 2021 IR35 (Off-Payroll working) is being implemented for private sector contractors, but what does it mean?
The new rules apply to the workers who are classed as a contractor. The rules make sure that workers who would have been classed as an employee, if they were providing their services directly to the client, pay the same Tax and NI as employees. The client is the organisation who is or will be receiving the services of a contractor. They are the ones responsible for determining if the off payroll working roles apply.
The rules apply if a worker provides their services to a client through an intermediary; however, they would be classed as an employee if they were contracted directly. The off-payroll working rules apply on a contract-by-contract basis so a contractor may have some roles which fall within the off-payroll working rules and some which will not.
For more information, please visit HMRC