Left client yesterday. Working for consultancy on site at PS client. Agency is actually the recruitment division of the consultancy. Since yesterday they've been trying to convince its all ok to come back.
Today, every contractor at the consultancy received this email from the recruitment arm of the business, which was a bit out of the blue:-
Public Sector worker confirmation of your Tax status under IR35
Following the communications sent to your Personal Service Company on 24/02/2017 explaining the way in which reforms to IR35 will affect workers who engage through a PSC on assignments where your services are delivered to a Public Sector end-user organisation, we wrote to each end-user client whose responsibility it is to determine the IR35 status of each assignment.
Based on the client’s assessment against HMRC criteria and information that you may have been asked to provide, your assignment through your Personal Service Company (PSC) with the organisation you have been assigned to, has been determined as:
‘Off-Payroll’ under IR35 therefore not taxable under the reform to the legislation
As the company that makes payments to your PSC, under the new IR35 rules, we will:
·Make a payment to your PSC for the full amount within your invoice, subject to verified timesheets, in line with our contractual agreement.
Things that concern me about this:-
1. Two weeks ago they were absolutely clueless and sudddenly its all sorted.
2. No-one has asked me for any information whatsoever so I wonder just how much assessing the PS client has done.
3. The tool is not even released yet.
4. The agency/recruitment part have a vested interest in ensuring not all the contractors up and leave.
Bottom line - what is the official method for notification that you are outside? Should it come from agency, client, or end PS client? Is this sort of email legally binding? (I suspect not)
Today, every contractor at the consultancy received this email from the recruitment arm of the business, which was a bit out of the blue:-
Public Sector worker confirmation of your Tax status under IR35
Following the communications sent to your Personal Service Company on 24/02/2017 explaining the way in which reforms to IR35 will affect workers who engage through a PSC on assignments where your services are delivered to a Public Sector end-user organisation, we wrote to each end-user client whose responsibility it is to determine the IR35 status of each assignment.
Based on the client’s assessment against HMRC criteria and information that you may have been asked to provide, your assignment through your Personal Service Company (PSC) with the organisation you have been assigned to, has been determined as:
‘Off-Payroll’ under IR35 therefore not taxable under the reform to the legislation
As the company that makes payments to your PSC, under the new IR35 rules, we will:
·Make a payment to your PSC for the full amount within your invoice, subject to verified timesheets, in line with our contractual agreement.
Things that concern me about this:-
1. Two weeks ago they were absolutely clueless and sudddenly its all sorted.
2. No-one has asked me for any information whatsoever so I wonder just how much assessing the PS client has done.
3. The tool is not even released yet.
4. The agency/recruitment part have a vested interest in ensuring not all the contractors up and leave.
Bottom line - what is the official method for notification that you are outside? Should it come from agency, client, or end PS client? Is this sort of email legally binding? (I suspect not)
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