IR35 determination - EY Confirm Tool

[OrangeSquash]

Hi,
been advised that current ClientCo are using Ernst & Young's IR35 determination tool - "Confirm" for status determinations.
Questionnaire goes to my main engagement contact initially and then on to myself to complete stage 2.
Anyone else gone through the same with this tool?

ta.
OS

[Paralytic]

I hear the tool is so-called as it confirms that everyone is Inside IR35.

[OrangeSquash]

As expected then. But keen to hear from anyone that has actually gone through the exercise with this specific tool.

[GhostofTarbera]

I hear the tool is so-called as it confirms that everyone is Inside IR35.

Indeed, it also gives the hiring manager 3 alternative replacements from EY


Sent from my iPhone using Contractor UK Forum

[edison]

I hear the tool is so-called as it confirms that everyone is Inside IR35.

Indeed, it also gives the hiring manager 3 alternative replacements from EY

Sent from my iPhone using Contractor UK Forum

Not had any experience of the EY tool but apparently Grant Thornton (5th biggest UK accountancy firm) also has an IR35 tool. They don't have a consulting arm AFAIK so less likely to be a potential conflict of interest unlike the Big 4 of PWC, EY, Deloitte and KMPG.

Are we now going to end up with 10 or 20 tools on the market and what extra confusion is that going to cause?

[JohntheBike]

Not had any experience of the EY tool but apparently Grant Thornton (5th biggest UK accountancy firm) also has an IR35 tool. They don't have a consulting arm AFAIK so less likely to be a potential conflict of interest unlike the Big 4 of PWC, EY, Deloitte and KMPG.

Are we now going to end up with 10 or 20 tools on the market and what extra confusion is that going to cause?

what extra confusion is that going to cause?

as much as CEST?

[CheeseSlice]

Are we now going to end up with 10 or 20 tools on the market and what extra confusion is that going to cause?

I think we will see a lot of these tools appearing, though several of them may just be re-branded versions of the same white-label tool (e.g. QDOS) since they need to be designed by specialist tax experts. I'm also seeing more pimps on Linkedin peddling IR35 status tools as part of their service to clients.

I think the reason for seeing more of these tools is clear.
Clientco's do not make any money by becoming IR35 experts. This has been pushed onto them and they'll seek out whatever solutions the market offers to outsource this.
The larger clients may be able to justify internalising some kind of determination process, but the smaller ones just wont have capacity.

[Maslins]

I'm a bit surprised by this. It's one thing using such a tool on your own internal contractors. It's another letting other companies use it for theirs.

Presumably it would then come with hefty caveats? Or will the firm developing the tool be fine with being held responsibility if the decision of their tool ended up being proved wrong and extra taxes/penalties incurred?!

Sure, you might argue that if they're confident in the tool they'd stand by it, but given the subjectivity in a lot of this, combined with risk of third parties answering questions incorrectly, it would seem a big risk.

[WordIsBond]

Or will the firm developing the tool be fine with being held responsibility if the decision of their tool ended up being proved wrong and extra taxes/penalties incurred?!

Maybe they'll use the same caveat that HMRC does -- as long as what's entered is accurate. Works for them....

[kryten22uk]

Not had any experience of the EY tool but apparently Grant Thornton (5th biggest UK accountancy firm) also has an IR35 tool. They don't have a consulting arm AFAIK so less likely to be a potential conflict of interest unlike the Big 4 of PWC, EY, Deloitte and KMPG.

Actually, yes GT does have consulting work. And they routinely engage contractors to meet the demand!