Contractors vs IR35

[Not So Wise]

I must say this bit from the front page news article is suspriseing

PCG has handled over 1,000 investigations where the contractor has been found to be outside IR35, compared to just three, which found the contractor to be inside the ambiguous tax rule.

If true that is a pretty amazing success rate and best reasoning i have ever seen for hector to scrap and rewrite ir35

[boredsenseless]

I must say this bit from the front page news article is suspriseing

If true that is a pretty amazing success rate and best reasoning i have ever seen for hector to scrap and rewrite ir35

Its so high because the ones they know they'll lose are either dropped or advised to settle long before court

[expat]

Its so high because the ones they know they'll lose are either dropped or advised to settle long before court

That in itself would be useful to know.

[Dundeegeorge]

I hope you can back that up

Its so high because the ones they know they'll lose are either dropped or advised to settle long before court

that is of course unless you want to be hearing from the PCG's solicitors?

[Mordac]

>for hector to scrap and rewrite ir35

What about the other 99,000 who are coughing up, either by going brolly or just bending over and taking it up the jacksie? Hector can take 1000 defeats comfortably on that basis.

[malvolio]

Well that's really the whole point isn't it? Something like 70% of conractors have yet to twig that IR35 is effectively a voluntary tax: there is enough information so that you can understand the basis for in or out, and there is no reason for people to be paying it merely because they can't be bothered to work out how not to.

To be frank, I would be quite happy for there to be two classes of contractor - agency temps, working through a third party, paying IR35 or the equivalent direct taxation, and freelance contractors running their own business and paying Ltd Co taxation. At least then it would be clear cut and a matter of choice about how you work. It's not actually the money that gets me wound up, it's the uncertainty IR35 brings to every work-related thing I do.

[zathras]

I must say this bit from the front page news article is suspriseing

If true that is a pretty amazing success rate and best reasoning i have ever seen for hector to scrap and rewrite ir35

Actually it is more than that. It's over 1100 now!

Here is another statistic for you.

Those cases take around 2 years to complete. Now if they were consecutive then the first one would have to start before Christ was born in order for the last one to be completed now ( they would have taken 2200 years)

Daft is n't it?

[zathras]

that is of course unless you want to be hearing from the PCG's solicitors?

I think the PCG has better things to do with the money (the S660 appeal is later this month), however does this matter?

If a contractor is bang to rights caught the simple fact of the matter is no amount of negotiation is going to make a blind bit of difference. However awful IR35 is it is currently the law of the land. Rather in the same way the Poll Tax was when the current PMG refused to pay it.

What is important is that the IR thought it could win 11,000+ cases and was wrong 10,997 times.

[Rebecca Loos]

IR thought it could win 1,100+ cases and was wrong 1,097 times.