Contracting role offer - but now IR35 being repealed...

[eek]

A reminder of how HMRC were approaching IR35 before the legislation, which is about to be repealed:

https://www.qdoscontractor.com/news/...ntractors-ir35



It would be interesting to know how successful they were. In any case worth noting.

The lack of any news regarding it tells me it was a complete fishing expedition that may have generated a few quid..

[Inspired]

It's how I interpreted this bit in bold:



Where did you see anything about a bank? Their current perm role is in banking, that's not necessarily a given that the contract is in the same field

To clarify, I currently work for an investment bank in a permanent role. I am expecting an offer this week from a different bank for a contracting role. This role would be within IR35. From what I've seen, pretty much all the contracting roles in banking in my field appear to be within IR35 (of course, come next April, that may all change).

[Inspired]

Your role has been assessed as inside, and we will have to assume that the assessment was properly conducted and documented. With that in mind, what is it about the working practises that has changed which now ought to deem it outside?

Nothing has changed. I was just hoping that with the IR35 reform repealing next April, it would give me some extra leverage now in any negotiation ha.

[Inspired]

You've not mentioned how long the contract is for.

You could always hold off on accepting any role until April next year and see what happens then.

But any role you accept now is based on the rules as they are now, and the rate now. Not based on a what-if scenario in 6+ months time.

I believe it would be for 12 months. Can't hold off accepting for 6 months but maybe I have extra leverage now in terms of the negotiation given the recent news...

[Inspired]

It's too far away. It's not going to a make a jot of difference right now. Gonna take them awhile to digest the news and see the wording of the legislation and then their risk/legal teams need to get involved and so on.

And don't hold your breath for it going outside when the legislation hits. In HMRC's eyes the client said it's inside so you suddenly saying it's outside when the legislation changes isn't going to wash. Some complication around roles that are blanked inside rather than determined individually as they should have been but HMRC won't care. They will see inside to outside and the only way you can argue your point is in an investigation and you really don't want that.

IMO although the legislation is going to hit Apr 2023 it's going to take a long time to get to normal. Everyone on an inside gig will have to finish the work and move on before switching to outside. No flicking over on the 6th April, or even at next renewal. If the work hasn't changed then nor can the status IMO. But time will tell. No doubt it's going to be discussed endlessly between now and then and we will get this question raised almost daily.

Thanks for your detailed response. As you say, maybe the only way I could move outside IR35 would be if I changed roles after April then.

[WTFH]

I believe it would be for 12 months. Can't hold off accepting for 6 months but maybe I have extra leverage now in terms of the negotiation given the recent news...

Extra leverage in what? Asking them to pay more for the next 6 months for no reason at all?

Part of negotiation is about understanding where the other side - your customer - is coming from. What reason should they pay more?

[northernladuk]

Thanks for your detailed response. As you say, maybe the only way I could move outside IR35 would be if I changed roles after April then.

Good luck with that. Every single inside contractor will be trying to swap to outside roles at that time. It's going to be mayhem

[Inspired]

Extra leverage in what? Asking them to pay more for the next 6 months for no reason at all?

Part of negotiation is about understanding where the other side - your customer - is coming from. What reason should they pay more?

No, not for no reason at all. Extra leverage because after April, the market may open up for outside IR35 roles, in which case the threat/chances of me leaving for a higher paying role increases.

[Inspired]

Good luck with that. Every single inside contractor will be trying to swap to outside roles at that time. It's going to be mayhem

Haha yes, interesting times ahead!

[d000hg]

No, not for no reason at all. Extra leverage because after April, the market may open up for outside IR35 roles, in which case the threat/chances of me leaving for a higher paying role increases.

I'm sure they can replace you.