IR35 PS - So anyone had the discussion yet?

[MrMarkyMark]

For me,

Probability of consultancies not being an exception - 50%
Probability of end PS client labelling inside IR35 - 50%

Consequences - Probably about 20% less take home.

BUT

Probability of HMRC coming hunting for previous years for everyone like me - 95% IMHO
Probability of them winning - 95% IMHO

Consequences - an eyewatering amount of tax/NI for the last two years.

And you're still weighing up your "options"

[northernladuk]

How many contractors in the PS? I hope to God every one of them isn't going to play out their sad situation in tooth aching detail like PC is. Surely a few of them will be able to handle their own business and make the right decisions just from reading rather playing their car crash out in front of us.

P. S. There is so much guesswork in that post it wasn't even worth reading.

And you are completely forgetting you yourself have admitted that your current IR35 status is arguable. So whatever percentage chance you get for staying outside lower it even further because even that is a risk. Also increase the risk of failing an investigation for the same reasons.

[nucastle]

Just been shown a letter similar to the TFL one, that has went out to all the people I know working at the DWP.

The message is exactly the same at the TFL one asking people to bear with them as they clarify their position going forward.

Only one person I know now, is planning on staying there.

[northernladuk]

Only one person I know now, is planning on staying there.

I wouldn't take any notice of this type of thing. Everyone says they will walk when there is a rate cut at the banks but the reality is vastly different. We've seen on here already a number intend to stay, either because it suits them for some reason or they are incapable of making a decision in time.

I think it will be quite surprising how many will still be there come April.

[eek]

I wouldn't take any notice of this type of thing. Everyone says they will walk when there is a rate cut at the banks but the reality is vastly different. We've seen on here already a number intend to stay, either because it suits them for some reason or they are incapable of making a decision in time.

I think it will be quite surprising how many will still be there come April.

I suspect based on the location he is talking about and the marie celeste feel from the other half of those buildings nucastle is more accurate than you think. If the water cooler talk is anything like what I've heard down the pub everyone (especially those who have been there are while) is getting out.

[northernladuk]

I suspect based on the location he is talking about and the marie celeste feel from the other half of those buildings nucastle is more accurate than you think. If the water cooler talk is anything like what I've heard down the pub everyone (especially those who have been there are while) is getting out.

Hmm, will be interesting. Hope we've got forumites that are going to stay so they can give us updates on the frontline.

[Quality]

Had the discussion!

Looks like the PS that I am at is taking things seriously and actively looking at legal ways of declaring everyone outside of IR35. Most people here don't even realise they are working for a PS. They are now working with the single agent to change payment schedules to weekly so that we don't all give 2 weeks notice on 10th Feb. The latter is a positive move that will buy them more time to fix the former.

[LondonManc]

I wouldn't take any notice of this type of thing. Everyone says they will walk when there is a rate cut at the banks but the reality is vastly different. We've seen on here already a number intend to stay, either because it suits them for some reason or they are incapable of making a decision in time.

I think it will be quite surprising how many will still be there come April.

Totally different situation. Bank contracts are generally good rates and you're still outside IR35 after the rate cut (more so in fact!). If I was on a PS rate in London and told that I'd be disappearing inside IR35 for an extra £50 a day, that's a massive difference by comparison.

[BoredBloke]

I wouldn't take any notice of this type of thing. Everyone says they will walk when there is a rate cut at the banks but the reality is vastly different. We've seen on here already a number intend to stay, either because it suits them for some reason or they are incapable of making a decision in time.

I think it will be quite surprising how many will still be there come April.

I'd say there is a whole world of difference between taking at 10% rate cut and being forced inside IR35. Most people who have had a rate cut, myself included, take it and then start looking for another gig. On the basis that it is better to have 90% of your day rate and let them fund the job search. That's completely at odds to having your tax bill jump by 20%+, having to pay travel and subsistence expenses out of that post tax income and risking a monumental and financially ruining retrospective tax bill.

If I were in the public sector there is literally no way I'd be staying and I'd be getting out sooner rather than later to avoid the stampede!

[northernladuk]

I'll consider myself well and truly told