What's the new normal

[MrC]

Having done some inside contacts for a while new contract opportunity has presented and the client wants to proceed. "Outside"is how the agency have pitched it, however the agent advised me that they/(the client) had decided to book the QDOS status review service and the client has duly completed the first part. Now it's my turn and I was surprised to see that I'm expected to pay for the review. Is this the new normal?

Seems a bit off given that it's been initiated by client/agency and it's arguably more useful to them than me if this engagement doesn't proceed as they'll know where they stand/ how to engage the next provider.

Yes it's not a big expense in the overall scheme of things if the determination lives up to it's advertised position and everything proceeds. But I've previously opened and wound up a ltd co when the client pulled out with no reason provided so I'm just trying to keep outlay down especially with the jump in companies house fees.


More significantly the agency-contractor contract stipulates that the contractor must indemnify the agency for all and any tax liabilities.

I'm minded to put an ultimatum to the agency to say: take out the indemnity clauses and I'll pay the QDOS fee or retain the clause and you pay the fee but I'm not sure if that's grounded in logic or just an irrational response.

Does the new normal mean that I need to suck up both aspects or walk?

[fatJock]

I've always paid for my own QDOS reviews for outside roles whether mandated or not - small price to pay for the comfort.

[Ketto]

I wouldn’t be too fussed paying for the status review (have never been asked to pay mind) but I wouldn’t sign a contract with the tax indemnity clause.

To be honest they sound like total pains in the backside if this is a sign of what they are going to be like during the engagement.

[MrC]

I've always paid for my own QDOS reviews for outside roles whether mandated or not - small price to pay for the comfort.

I've often paid for QDOS reviews in the past when the responsibility lay with my firm as a contractor but now it lies with the end client I expected a different result

[northernladuk]

You would walk away from an outside gig just because you have to pay for a contract assessment? Wow, I must be a crap contractor as I couldn't to do that for what is absolute peanuts.

[ladymuck]

Indemnity clauses for an outside contract aren't anything new. It is up to you to do the right tax treatment. However, if it's an indemnity just in case the client made the wrong determination then that's an entirely different kettle of fish. Their decision, their risk as far as I'm concerned.

Paying for the QDOS review is a cost of doing business. You're not an employee.

[BigDataPro]

I have had an instance where I was asked pay for the flight ticket to Copenhagen to attend an interview. I negotiated that I will pay 50% of the flight cost if successful, otherwise the agent pays all the expenses in full. If the cost of review is unaffordable then you can negotiate similar deals.

[Qdos Contractor]

When we provide services to clients and/or agencies in respect of the off-payroll rules, they can choose whether to cover the fees themselves or, as in your case, pass the cost on to the contractor. It's probably about a 50/50 split across our portfolio. As pointed out in the thread, it isn't your legal responsibility but ultimately it made the task of engaging with private sector businesses easier (i.e. moving them away from blanket bans, CEST etc).

The indemnity clauses are not connected to our process and we do not advise clients to add them into contracts. If you are going through the Status Review platform, it is highly likely that your client is directly covered by our insurance, which will cover potential liabilities at their level.

[ensignia]

It's simply the cost of doing business, pay it and don't give it any more thought.

Some people, honestly.

[escapeUK]

so I'm just trying to keep outlay down especially with the jump in companies house fees.

First I heard of that one. From £13 to £34 for a pointless confirmation statement! Another rip off in treasure island! 161% increase!!

As to your question, if the contract is definitely going ahead I wouldn't mind. But if its a maybe, then no. Same as I wouldn't take out insurance before the contract is signed.