IR35: Planning for April 2021 – should I stay or should I go?

[northernladuk]

Why what's wrong with it? I sent an email to the agency earlier this week as follow up to their ir35 webex, will let you know when I hear back

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Well, for a start, and it's pretty fundamental, the client makes a determination of the role not you.

Your unavailability means squat. If that role extends beyond April and its inside you are at risk of a retrospective investigation.

You will also get a determination well before April and that point you are at risk.

You will have to leave before your last payment goes over April so much earlier.

Being on site even with an outside determination when the old role was determined inside is still riskier than just leaving.

That's for starters. All fundamental stuff we've being pointing out for a long time.

[eldy]

Well my "role" ends in March anyway and I could potentially work in another team at same company in a different "role" post April of offered outside ir35 contract

How is "role" being defined?

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[CompoundOverload]

I'm in the same predicament in that the client has sent an email to all contractors that a determination on all roles will be assessed and communicated in the next month.

I'm there until the end of the year so have tried to make the client understand that it's a waste of effort on their behalf to determine a role now that I'm performing based on April when I wont even be there.

I've decided that the best course of action is to get out of there before any determination is made. I'd suggest you follow suit.

I'm still worried that even if I do leave, im on their list of contractors who will forgo an assessment irrespective of whether I left before a decision was made. Not sure what the cut off point would be given I'm on their radar already.

[northernladuk]

I'm there until the end of the year so have tried to make the client understand that it's a waste of effort on their behalf to determine a role now that I'm performing based on April when I wont even be there.

OMG. I'm sure this has been explained yo you a number of times and is in the post above this one.

its got nothing to do with you. Its on the role
How many more times do we have to say.

And I've also said many times people that don't know what they are talking about engaging with the client are making the it worse for themselves and everyone else.

I'm still worried that even if I do leave, im on their list of contractors who will forgo an assessment irrespective of whether I left before a decision was made. Not sure what the cut off point would be given I'm on their radar already.

You'll only be in the same situation you are in right now. HMRC by default thinks you are inside so have been looking for people to investigate for decades. If you leave before the detonation then you'll just be the same.
You've mitigated the risk nearly as far as you can so don't over think it and stress yourself out.

[eldy]

its got nothing to do with you. Its on the role

but what do you mean by "role" ?

I've always been extended for different reasons. for example my next extension is being given because the UK team is being made redundant and will be gone. As i'm most experienced there and no permie will be available to do it they want to me monitor/train the Indian team up until Mid March, and thats it, its temporary, no need for further extension as it will all be done in India, so end of role at least in UK.

[northernladuk]

But should/can the role be done by a permie. If they are moving you around work the answer I HMRCs eyes is yes, like they do with permies. If they are making the perms redundant and using you instead of them is another flag.

And so on... Whatever they want you to do they have to give a determination if they believe that role will continue past April.

Bearing in mind me, and nearly every contractor on here has made a living out of 3 month gigs that won't be extended and ended up being there much longer I'd be very cautious if I were you.

And that is your particular situation so the advice for you isn't possibly the advice for the person reading your post.

[eldy]

Ok I see what you are saying. And those are things to be argued in court if it ends up there.

But to be certain for those contracts ending pre-April and is last renewal to get off the HMRC radar regarding determination we would confirm with client that the role is not being determined as its definitely last extension pre April?

Not much I can do about it if they are determining anyway (but what would be the point if its ending pre-April)

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[northernladuk]

Because your last payment will be after April and you are caught.

And the contract might be ending pre April but will the work still be required so will be extended. Olivier James said in a webinar they are ending April to prepare for the next phase. So the contract is ending with high likelyhood of an extension.

Don't confuse the contract date with the clients needs.

You need to take a step back, understand what is happening better and approach your situation with a much wider view IMO.

[eldy]

Another good point, so best to close down my company come April and carry on paying ir35 insurance for a while.

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[northernladuk]

Another good point, so best to close down my company come April and carry on paying ir35 insurance for a while.

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Difficult to say for sure but looking at all the situations and best way to mitigate then that is one of them.

It's unknown times and people do need to make their own decisions. There is no tick box or answers to this.

Does raise questions about what if you claim ER and get an outside gig within 2 years and so on..

BTW. We haven't really discussed what happens if a role truly disappears in April and payment comes in after. By the letter of the law it should have been determined but why if it wasn't going to exist past April.... But payment will.

Technically the client should still make a determination I think