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TFL communication re IR35

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    TFL communication re IR35

    https://www.dropbox.com/s/j6kr9nagks...tion.docx?dl=0


    Subject: HMRC legislative changes to how you’re paid on assignment to TfL

    Date: 21st December 2016

    The Government is changing off-payroll working rules across the public sector from 6 April 2017 and believes public sector bodies have a duty to ensure that everyone who works for them pays the right amount of tax. This affects you as a limited company worker on a temporary contract as you are not on TfL’s payroll. These changes affect all public sector bodies. You can find out more in the Government’s Autumn Statement (section 4.11) and in this guidance from HMRC. What this means for you You will not be able to continue on assignment at TfL as a limited company worker and must change your pay status by Friday 17 February 2017. What you need to doTfL has written to your manager asking them to consider various options. These options are listed below. Please note that not all options may be available to you or your manager. Please discuss your options with your manager and with us. Please do this now and in early January as your manager will need to make a decision by Friday 20 January 2017.

    The options (not all will be available to everyone) are:
    1. Continue as NPL and convert to PAYE status (see glossary). Transfer to new contract by Friday 17 February 2017;
    2. Continue as NPL and convert to umbrella company status (see glossary) by Friday 17 February 2017;
    3. Convert to an employee on a permanent or fixed term contract. This will need to go through the normal recruitment approval and Headcount Controls process;
    4. Stop working for TfL. This would need to happen by Wednesday 5 April 2017 to comply with the legislation.
    5. Critical workers who cannot be put into the above options must be highlighted to the NPL team as a priority and we will review all options in order to retain your skills and deliver the work required by the business.

    If you have questions or need clarification of any of this, please call or email us and we will be in touch as soon as possible. You can also access the latest news on off-payroll working, a glossary of terms and FAQs on the NPL homepage under ‘Working at TfL’here.

    This change is happening quickly and may come as a surprise to you if it’s the first time you’ve heard about the legislative reforms. You’ll need to have conversations with your manager and your agency contact to ensure TfL meets its legislative duties.

    Thank you for helping us meet these new legislative reforms within such a short timeframe, especially with the Christmas break upon us and the fact that we’re all busy delivering against our objectives. Your support is appreciated and we will give you as much support as we can in return.
    Last edited by NotAllThere; 21 January 2017, 09:30. Reason: Formatting

    #2
    4.Stop working for TfL. This would need to happen by Wednesday 5 April 2017 to comply with the legislation
    Actually, make that Wednesday 1 March 2017, if you know what's good for you...
    "I can put any old tat in my sig, put quotes around it and attribute to someone of whom I've heard, to make it sound true."
    - Voltaire/Benjamin Franklin/Anne Frank...

    Comment


      #3
      depends on payment schedule, but more probably 24th February if monthly

      Comment


        #4
        Isn't option 5 extremely dodgy?

        Just because you are deemed a critical worker doesn't mean you aren't inside IR35 and the HMRC aren't going to come after you.

        Comment


          #5
          Originally posted by b r View Post
          depends on payment schedule, but more probably 24th February if monthly
          Which is why the next week is critical as to leave on the 24th if you have 4 weeks notice means resigning in the next week
          merely at clientco for the entertainment

          Comment


            #6
            Originally posted by SussexSeagull View Post
            Isn't option 5 extremely dodgy?

            Just because you are deemed a critical worker doesn't mean you aren't inside IR35 and the HMRC aren't going to come after you.
            It's nothing to do with someone's ir35 status, just whether they will let you stay while working through a Ltd.

            It'll be interesting to see if other public bodies take tfl's approach.

            Comment


              #7
              Originally posted by cojak View Post
              Actually, make that Wednesday 1 March 2017, if you know what's good for you...
              If the agency is Hays it is weekly paid, Hays have already written to contractors saying the last date would be 24th March to ensure that the Ltd Co is paid in time.
              This default font is sooooooooooooo boring and so are short usernames

              Comment


                #8
                TFL communication re IR35

                Originally posted by MPwannadecentincome View Post
                If the agency is Hays it is weekly paid, Hays have already written to contractors saying the last date would be 24th March to ensure that the Ltd Co is paid in time.
                Then they'll need to hand in their notice on 24th Feb if they have a one month notice period.
                "I can put any old tat in my sig, put quotes around it and attribute to someone of whom I've heard, to make it sound true."
                - Voltaire/Benjamin Franklin/Anne Frank...

                Comment


                  #9
                  Originally posted by jmo21 View Post
                  It'll be interesting to see if other public bodies take tfl's approach.
                  Those that welcome this change probably will - and I think there are quite a few that fall into that category.
                  First they ignore you, then they laugh at you, then they fight you, then you win. But Gandhi never had to deal with HMRC

                  Comment


                    #10
                    Originally posted by SussexSeagull View Post
                    Isn't option 5 extremely dodgy?

                    Just because you are deemed a critical worker doesn't mean you aren't inside IR35 and the HMRC aren't going to come after you.
                    I think its more saying that if we deem you as essential to the project we will make a decision on whether you are outside IR35 or not. However unless you are utterly essential we not even going to bother running the questionnaire.
                    merely at clientco for the entertainment

                    Comment

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