2 days on site, 3 days remotely in order to argue that main workplace is home

[JamesBrown11]

If someone works 2 days on site, 3 days from home, can he claim that his main workplace is home? Does this have any bearing on IR35 status? (assume under current rules)

What if he works 3 days remotely (but mostly from places other than home, eg. trains, buses, cafes, etc.). What's his primary workplace in this case?

[SimonMac]

If someone works 2 days on site, 3 days from home, can he claim that his main workplace is home? Does this have any bearing on IR35 status? (assume under current rules)

What if he works 3 days remotely (but mostly from places other than home, eg. trains, buses, cafes, etc.). What's his primary workplace in this case?

Yes he can claim it's his main place of work, no it doesn't impact on IR35 status

[eek]

Yes he can claim it's his main place of work, no it doesn't impact on IR35 status

Be careful there as IR35 will impact that statement. If you are inside IR35 you need a base office and HMRC will declare the office you visit 2 days a week is your base office.

Expenses are far more nuanced and complex than I work from home most of the time so the 40% rule applies. Especially as HMRC will be looking for suitable examples to show that changing client = new base office.

As an example when I work for Microsoft I can claim expenses directly from Microsoft except visiting Reading. Being outside IR35 I could separately expense any journey to Reading, were I inside IR35 I can't.

[JamesBrown11]

What I meant was, in the current tax year is working from home 3 days a week a factor in favour of contractor's self-claimed outside status?

[eek]

What I meant was, in the current tax year is working from home 3 days a week a factor in favour of contractor's self-claimed outside status?

Nope - it makes zero difference to your IR35 status.

Put simply:-

IR35 status determines expenses,
expenses and location does not impact IR35 status.

[ChimpMaster]

If you can choose where to work, then that shows a degree of independence and a lack of control from the client, on this one point at least. This would be one (of many) pointers outside of IR35.

I work at home all the time and only visit the client 4 or 5 times a year. I have it written into my contract that my company can choose to perform the work anywhere it so chooses. Many times in the past, this client has tried to get me on-site more, but I have refused - now they've finally given up asking . The client literally has no idea how I do the work, or when, or where. They just know it gets done.

Working at home a lot can also imply that the client doesn't know/care what you are working on, and so is not able to apply SDC to a level they might apply to a permanent employee.

None of these points are golden bullets, but the more arrows in your quiver, the better.

[SimonMac]

Be careful there as IR35 will impact that statement. If you are inside IR35 you need a base office and HMRC will declare the office you visit 2 days a week is your base office.

Expenses are far more nuanced and complex than I work from home most of the time so the 40% rule applies. Especially as HMRC will be looking for suitable examples to show that changing client = new base office.

As an example when I work for Microsoft I can claim expenses directly from Microsoft except visiting Reading. Being outside IR35 I could separately expense any journey to Reading, were I inside IR35 I can't.

Doesn't matter, inside means no expenses paid either way

[eek]

Doesn't matter, inside means no expenses paid either way

No - it means no expenses for commute like travel. There isn't a problem receiving expenses provided the umbrella agrees they are legitimate business expenses for travel on behalf of the end client.

[KinooOrKinog]

No - it means no expenses for commute like travel. There isn't a problem receiving expenses provided the umbrella agrees they are legitimate business expenses for travel on behalf of the end client.

Does that not mean the end client would be paying the expenses though? Like they do for employees?

[eek]

Does that not mean the end client would be paying the expenses though? Like they do for employees?

Yep because in the Microsoft scenario I outlined that is exactly what would happen.