IR35 - HMRC! Curious about how they chooose people to investigate/inspect

[JIDEARE]

Hi,

It's my first year contracting and I've done my best to keep ALL records. I had a break in at xmas during which my laptop bag and file with a lot of important docs included got stolen. I'm unsure what would be required of me to justify being Outside IR35... Especially with regards those clients you've stopped working for.

[northernladuk]

I'm a bit unsure what you are asking here. Are you asking if the theft of your laptop has any impact on your IR35 status and will it be a factor as to whether you are at risk of an investigation?

[l35kee]

Think OP is saying he has been in a role deemed outside of IR35. He keeps detailed records of everything to make sure he has proof that he is working outside of IR35.

Then, over a break at Christmas he deleted lost all that proof. Now is worried that if HMRC investigate they are likely to find him inside of IR35.

[MrButton]

Any ir35 “proof” should still be obtainable? No?

Contracts invoices etc should be in emails?

Bit odd to keep this stuff only on disk and only on a laptop.

[Lurker101]

I'm a bit unsure what you are asking here. Are you asking if the theft of your laptop has any impact on your IR35 status and will it be a factor as to whether you are at risk of an investigation?

That may depend on who replaces the laptop....

[cojak]

And what happened to your backup???

[Hobosapien]

To answer how HMRC choose their targets for IR35 investigation maybe all those on here who have been investigated recently (in last couple of years) can say how they think they were targetted?

Current replies:

I'll be surprised if the above status changes.

HMRC should be going for the low hanging fruit, such as TV presenters and other permitractors that have been in same contract for years, which offer an easy win and a big reward, if they have any sense. Then all those in public sector that are in same contract that were 'outside' prior to April 2017 and are now deemed inside by the client.

In the unlikely event you are unlucky enough to end up in their crosshairs all you need to do is ensure you've got a contract review by a reputable source that says 'outside' after looking at actual working practices. Then IR35 insurance if you're paranoid. Not heard of anyone being investigated once covered by those as HMRC realise they're on a hiding to nothing and quickly move on to the next target.

[northernladuk]

Well incompetence or rank stupidity isn't a factor in their choice so I guess that's all the OP needs to know.

[JIDEARE]

Noted. A lot of the stuff that's missing can and has been retrieved. I was just curious at to whether anyone knows the criteria for ending up being investigated.

That's all.

Thanks for all your input

[northernladuk]

Noted. A lot of the stuff that's missing can and has been retrieved. I was just curious at to whether anyone knows the criteria for ending up being investigated.

That's all.

Thanks for all your input

If we did we'd have reams of documentation and advice on exactly what to do to avoid it really wouldn't we? The fact we don't speaks volumes. Don't screw your tax and VAT returns up seems to be a good start though.