Negotiating Contract Wording - Next Day Start

[Freaki Li Cuatre]

Normally I have a bit of time to get my contracts reviewed before I get to go on site.

Landed a gig yesterday late pm & was asked if I could start today & I said yes.

Got the contract reviewed by QDOS on a 24 hour turnaround & it has failed on a number of points. I fancy that I'm going to struggle to get the required changes.

What's the situation if I decide to bail now? I'm assuming that by turning up on site I have accepted the terms of the contract and that a notice period will apply (though, in reality, they'd probably ask me to leave there and then on the spot)?

As an aside, the contract is only for 2 months & it's exposing me to some interesting technology, GIS & Azure to name a couple, so there's a part of me that's saying just stick with it IR35 or not.

Decisions, decisions eh?

[malvolio]

Everyone frets about tax. That's not why you go to work. If taking a short IR35-caught gig gives you a new set of skills to bring in future work, look on it as an investment. Never let the tax tail wag the business dog.

[eek]

Everyone frets about tax. That's not why you go to work. If taking a short IR35-caught gig gives you a new set of skills to bring in future work, look on it as an investment. Never let the tax tail wag the business dog.

And don't forget pension contributions are a valid expense even under IR35...

[northernladuk]

Did you read the contract first and a least make an effort to understand its IR35 implications? If so you might have had a chance to delay the gig by few days to get the changes made.

[psychocandy]

So whats the point paying for a contact review if you've started anyway? As you said, they aint gonna change it now.

Might as well have just sucked it up and started regardless if that was the plan. Or alternatively tell them tough got to get a review first - wait another day.

But for 2 months hey ho.

Only issue is what if it extends and becomes longer?

[jmo21]

Everyone frets about tax. That's not why you go to work. If taking a short IR35-caught gig gives you a new set of skills to bring in future work, look on it as an investment. Never let the tax tail wag the business dog.

I agree with this.

A 2 month contract is a pretty small target for HMRC to go after.

Even finding you "guilty" with that contract, the monetary hit wouldn't be that great. And even though that may trigger an investigation of your other contracts, if they are outside you have nothing to worry about.

If you are *still* worried, go brolly for this contract only.

[eek]

I agree with this.

A 2 month contract is a pretty small target for HMRC to go after.

Even finding you "guilty" with that contract, the monetary hit wouldn't be that great. And even though that may trigger an investigation of your other contracts, if they are outside you have nothing to worry about.

If you are *still* worried, go brolly for this contract only.

Don't do that as it would be a single contract permanent employment with only 1 place of work so no expenses would be claimable.

As I've stated above if you have a pension ensure the amount you pay this year is greater than the contract value after other expenses. Then IR35 is a pointless question (yes it was under IR35 but everything went to expenses (including pension))..

[d000hg]

You could try and wangle the rate slightly, or you could push hard to get the contract amended. Especially if you can just send it back with some clauses struck out.

[TheFaQQer]

I'm assuming that by turning up on site I have accepted the terms of the contract and that a notice period will apply (though, in reality, they'd probably ask me to leave there and then on the spot)?

Yes - you accepted the contract terms by conduct, so you either give notice or stay.

As an aside, the contract is only for 2 months & it's exposing me to some interesting technology, GIS & Azure to name a couple, so there's a part of me that's saying just stick with it IR35 or not.

Presumably, you would have taken the gig if it was IR35, so you now need to consider whether you can work around IR35 or leave.

Options...

1 - Treat it as IR35 caught and pay tax
2 - Treat it as IR35 caught and stick the cash into a pension
3 - Treat it as outside IR35 and put the money to one side hoping not to be investigated and you "get away" with it
4 - Treat it as outside IR35 and ignore the issue
5 - Leave

Those spring to mind, I'm sure there are other things you could do, though.

[TheFaQQer]

Don't do that as it would be a single contract permanent employment with only 1 place of work so no travel and subsistence expenses would be claimable.

FTFY - other expenses would be claimable