Accepted Perm offer but got contract extension

[sira]

Currently in a gig (been 1.5 years) and I accepted a perm offer for a different company this week, for a June start. My gig was due to end in March but the client has now offered me an extension.

I have a meeting with HR and the firms tax advisor to discuss. I've obviously read around the I35 topic and know a bit but I'm no expert and want to go in armed with knowledge.

I know lack of IR35 knowledge gets flamed alot around here, but I'll be pretty honest - my working practices (like many others) probably would get caught inside, should there ever be an investigation (I'm not a long term contractor, only 2 years, so didnt know about this stuff before starting). Are there any viable solutions in this situation or best to end the gig in March and call it a day?

Apparently HR have a "solution" for the contractors here...

[b0redom]

Is the new contract still inside IR35? If not, you're probably OK, unless of course they're suggesting that you'd now IR35 caught.

[sira]

Are both the contract and the perm gig at the same place? If not, you're probably OK, unless of course you're now IR35 caught.

Not enough information.....

Edited OP. Contract and Perm role are at different firms. The company which offered the permanent role has a flexible start date and are happy to let me start whenever I like

[PCTNN]

Don't take the extension, finish the gig in March. Start your permanent job whenever suits you.

[sira]

Don't take the extension, finish the gig in March. Start your permanent job whenever suits you.

Could you elaborate on why thats the best solution? Thanks

[cojak]

Could you elaborate on why thats the best solution? Thanks

Because you’re not dropping the contract mid-term.

And then there’s the payments for the current contact of course, don’t want that straying into April.

[sira]

Because you’re not dropping the contract mid-term.

And then there’s the payments for the current contact of course, don’t want that straying into April.

Hmm. If I was to stay and work it would only be for an extra 1-2 months, as I definitely want to start the permanent role.

Is there a path of least destruction and risk?

[Dhrucku]

Hmm. If I was to stay and work it would only be for an extra 1-2 months, as I definitely want to start the permanent role.

Is there a path of least destruction and risk?

Leave the gig, it's maximum two months of more cash. It produces a clean cut away from contracting and the nature of your IR35 status, it'll also decrease your risk should HMRC ever look to retro investigate.

[sira]

Leave the gig, it's maximum two months of more cash. It produces a clean cut away from contracting and the nature of your IR35 status, it'll also decrease your risk should HMRC ever look to retro investigate.

This was my original plan, thats why I went out and sought to secure a perm role. The contract extension caught me off guard, ughh.

[PCTNN]

Hmm. If I was to stay and work it would only be for an extra 1-2 months, as I definitely want to start the permanent role.

Is there a path of least destruction and risk?

How long is the offered extension for?