Was told contract was going to be IR-35 - now delayed - what happens now

[Tonyharding]

Hi

With the announcement last night I have a question that I'd like to ask, get some advise on if possible.

I have currently an outside ir-35 contract until 31st March. The end client deemed that from that date my role was to be inside IR-35.Private sector company.

Now that we've had the delay by 12 months, can the customer still force an inside IR-35 contract?

Thanks in advance for any feedback

[ladymuck]

What has changed about the working arrangements that makes you think, even if the client isn't responsible for the determination, that the contract is outside?

[northernladuk]

Think about it a little bit hey....

[Tonyharding]

Hi all
maybe I was not clear. My contract and working arrangements are identified as being outside the IR35 legislation.
My current contract ends in March.
There is an option to renew, but this was going to be deemed inside IR35 by the client, even though the contract is "outside".
What the client has done is the so called "blanket approach".

So just to clarify, the rules are suspended until 1 year. From my view, my LTD company is responsible for determining the status of IR35.

Does the client have the right to deem a new contract "inside IR35" even though it is delayed, and even though the contract IS outside IR35, and my working practice shows this.

What gives them the right to make the determination the status now for a contract that starts 6th April 2020.

Hope this makes sense, but by all means come back to me if I can clarify.

[northernladuk]

There is no determination anymore. They can advise you on their view of your working practices and it's up to you to make your own determination. Whether you listen to them and do the right thing or ignore them and dig a bigger hole for yourself in the future is up to you.

They may however still insist you use a brolly etc as part of the engagement. They aren't determining but are dictating the engagement method.

[escapeUK]

Hi all
maybe I was not clear. My contract and working arrangements are identified as being outside the IR35 legislation.
My current contract ends in March.
There is an option to renew, but this was going to be deemed inside IR35 by the client, even though the contract is "outside".
What the client has done is the so called "blanket approach".

So just to clarify, the rules are suspended until 1 year. From my view, my LTD company is responsible for determining the status of IR35.

Does the client have the right to deem a new contract "inside IR35" even though it is delayed, and even though the contract IS outside IR35, and my working practice shows this.

What gives them the right to make the determination the status now for a contract that starts 6th April 2020.

Hope this makes sense, but by all means come back to me if I can clarify.

My view is that the new rules gave UK clients the right to decide. Those rules are now suspended, probably never to return in their current form as they are unjust and during a depression gov will have bigger fish to fry.

But that said, I think you are better off asking the client, rather than getting dubious opinions off here. Ask now that the legislation has been delayed (possibly never to return) what are their plans on how best to proceed? To me, given this is a renewal, I would expect the status quo to be maintained. What business implements new laws when they do not have to? Answer: None.

[northernladuk]

If the client has even indicated you can't substitute but it's in your contract then your IR35 insurances will be invalid don't forget..

[Andy Hallett]

You are correct that you will continue to make the determination post April 6th. I've heard of clients voiding SDS in light of the delays of the reform.

You might want to stop posting as Tony Harding is you want to move yourself up the hanging fruit level for HMRC.