New IR35 Guidance hot off the presses

[Danielsjdaccountancy]

I'm still trying to get my head around why in the scenarios HMRC rely on Control and yet it doesn't score anywhere in the test??? Am I missing something?

Also what happened to Mutuality of obligation??

I'm with Mal on this one, ignore the test.

[BolshieBastard]

I'm still trying to get my head around why in the scenarios HMRC rely on Control and yet it doesn't score anywhere in the test??? Am I missing something?

Also what happened to Mutuality of obligation??

I'm with Mal on this one, ignore the test.

I agree.

I've absolutely no intention of taking a test that is rigged in favour of one outcome overseen by a bunch of official shysters. Frankly, Im surprised many people are bothering with this. But, as my accountant says, every year HMRC rattles the IR35 tree and a few more nervy contractors fall out and cough up as IR35 caught.

[dynamicsaxcontractor]

I agree.

I've absolutely no intention of taking a test that is rigged in favour of one outcome overseen by a bunch of official shysters. Frankly, Im surprised many people are bothering with this. But, as my accountant says, every year HMRC rattles the IR35 tree and a few more nervy contractors fall out and cough up as IR35 caught.

Couldnt they just raise the corporation tax with 1% for small businesses or something and get rid of IR35 all together???? Oh yes I would loose out on this but what the heck, I am sick of this nonsense.

[BolshieBastard]

Couldnt they just raise the corporation tax with 1% for small businesses or something and get rid of IR35 all together???? Oh yes I would loose out on this but what the heck, I am sick of this nonsense.

They want everyone to be PAYE or near as damn it.

[dynamicsaxcontractor]

They want everyone to be PAYE or near as damn it.

Yes but that wont happen.

[hyperD]

Well, running a pure B2B home office business with fixed price, this test states that I'm medium risk.

Pure unadulterated nonsense. Plus ça change, plus c'est la même chose.

And I notice there's no ZERO risk score either.

Waste of time and another bout of HMRC scaremongering and predictable incompetence.

I shall ignore it once again.

[mudskipper]

What confuses me is the "can finish a job early and still get paid the same".

How does that work for those of us that just adjust the hours to suit. SO this week I've done +20 hours because other people fecked up and I needed to do my bits at anti social times to suit. At other times i take it easy and do less hours after all its not in my interest to do 8 hours when I can do 4 and still do what is required.

Or are they going to focus on the "to finish early means all the risk and fixing must be done at the end of the project, managing the risk on an ongoing basis won't be allowed".

I assume that "can finish a job early and still get paid the same" is a long winded way of describing fixed price work. I've done 2 small bits of fixed price work in the last 18 months. I don't see how that affects my IR35 risk on my main contract though.

[Sockpuppet]

I assume that "can finish a job early and still get paid the same" is a long winded way of describing fixed price work. I've done 2 small bits of fixed price work in the last 18 months. I don't see how that affects my IR35 risk on my main contract though.

Yeah I thought that. Does that mean that each day rate is a fixed price chunk of work. I have something to deliver and I'll do the hours needed to do that days work

Even the proper fixed priced work I do isn't fixed price. I have multiple income streams, clients sends me work and I'll do it. Usually say it'll take about 3 days. If it takes 2 he gets it cheaper. I could still charge 3 days but lets face it I want the repeat business so I have to keep my costs down. But this make HMRC angry apparently according the those tests. If its takes 4 he also gets charged for 4 as I don't know how long it'll take until I start. What looks like simple data could infact be a validation nightmare.

The mind boggles.

[BlasterBates]

From reading the scenarios you get an idea of what is definitely outside, what is definitely inside.

It's clear now that fixed price or something akin to fixed price i.e. penalties for late delivery, bonus for early delivery, puts you clearly outside of IR35. If you have fixed hours and are bossed around you're definitely inside. That's basically what the test is trying to determine. Everything else will be considered borderline (high, medium risk), i.e. down to the tenacity of the inspector, how well your client answers the questions, in other words "pot luck".

[portseven]

Absolutely nothing in there for do you pay your own sickness, training costs, relocate regularly, or any of the other MASSIVE RISKS I take in order to assist the UK powerhouses to get projects set up efficiently, with no long term commitment to employment.

Everyone I speak to about contracting, understands that I am not an employee, therefore all the above points I don't get, I am working for myself, so don't get those from my end clients. Why in all the docs from HMRC and others are these things ignored??? Seems like HMRC are using everything else but these, to determine if we 'are in business on our own right'.