New contract - new set-up

[freshblue]

What is not clear is why the Revenue think that composites - which are clearly there merely to avoid paying tax - are apparently exempted from IR35 investigation whereas proper one man businesses are being chased merely for following the rules for limited companies. Go figure.

Indeed! I guess many of the bigger brollies that have IR35 "solutions" also carry a fair amount of anti IR35 measures e.g. contracts, legal reviews, insurance etc. Makes it difficult for Hector to attack when you also consider the volume of the individual composite companies. Would need a class case and when you consider the HMCR track record.....

[Bagpuss]

Indeed! I guess many of the bigger brollies that have IR35 "solutions" also carry a fair amount of anti IR35 measures e.g. contracts, legal reviews, insurance etc. Makes it difficult for Hector to attack when you also consider the volume of the individual composite companies. Would need a class case and when you consider the HMCR track record.....

Surely it makes it easier?!

[malvolio]

Yeah, you have to wonder at the logic. 1100-odd PCG members for two years each to get three wins (two of which were largely self-inflicted, BTW) against a rule change to tax composites paying dividends at the same rate as employees.

Still, keep it quiet, they may not have thought of it.

[paulb567]

(two of which were largely self-inflicted, BTW)

Can you shed any more light as to which companies have lost IR35 reviews and why they were self-inflicted? I've been searching the PCG formus but not having much luck.

[Lucifer Box]

Try posting the question in the PCG forum. They will be far more likely to help you identify who the two cases that were not successful are (assuming those two are happy to be identified).

[Bagpuss]

Can you shed any more light as to which companies have lost IR35 reviews and why they were self-inflicted? I've been searching the PCG formus but not having much luck.

Of the famous ones...Things like submiting their contracts to the IR for IR35 status review (NEVER EVER DO THIS!). One defended himself in court and one another didn't have a written contract. Vaguely remember one being an ex employee of the company he contracted at (fri permie, monday contractor) and another being on site for several years (although many won cases have been). I know this is vague but I can't be arsed to search.

[OwlHoot]

Of the famous ones...Things like submiting their contracts to the IR for IR35 status review (NEVER EVER DO THIS!).

I just had a brainwave - What's to stop a contractor submitting a blatently IR35 _proof_ but fictitious contract to the IR for review, and do the same regularly every few months?!

You're not obliged to take up the work. So provided you don't fib and tell the IR you've actually worked under the terms of these contracts you'd be in the clear; but possibly, after seeing a few such contracts, some Hector clerk might click on a "don't bother IR35-reviewing this guy - they seem to always find IR35-proof contracts" box on your file