Here we go again...IR35 determination

[GhostofTarbera]

Ok.. I’m with a client who blanketed all contractors inside IR35 last year.. before I joined.

Just as I joined IR35 got pushed back. All the contractors here are still outside.

My own determination for my particular role was Outside.

Company just sent an email out.. everyone blanketed inside again.

I have a new contract on the table till end of the year..

So.. what do I do..


A) tell Mr HMRC I got it wrong for the last 6 months and pay up.
B)Switch to Brolly and hope they don’t come calling. Stick around.
C)As per B, but close ltd down in Jan
D)Stay outside till Jan and swap
E)Stay outside to Jan, leave.. try get another contract
F)Get the hell out now
G)Get the hell out now and MVL
H)Stay, swap to brolly next March if they keep me on(probably will)

..thoughts?

You have probably really been inside all along


Sent from my iPhone using Contractor UK Forum

[sadkingbilly]

Its a big company.

1) I’ll speak to my accountant.

2) As far as I’m aware, no SDS was sent to HMRC.

My concern is what do I do with this new contract?

take it, and put money aside to cover you if HMRC come calling.
in the current climate, anything's better than nothing.

[ladymuck]

Its a big company.

1) I’ll speak to my accountant.

2) As far as I’m aware, no SDS was sent to HMRC.

My concern is what do I do with this new contract?

SDS doesn't go to HMRC

[northernladuk]

The company sent an email saying all determinations were void. Contractors perform your own, which I did.

Now its sent another saying, previous evaluations stand.. wtf!!

Of course it would. This is as obvious as the nose on your face. It was void because the requirement for it was put back... Keyword 'put back' . It is not because the roles have changed or a new assessment was made.

The put back date is looming and they are picking up where they left off. No doubt this was going to happen. You won't be the only one this will happen to but unfortunately you are one of the first.

[Scruff]

Is this a large company working in the Defence industry, per chance?

[BABABlackSheep]

Your mistake was taking the contract, but that's easy for me to say...

As things stand now, you're a bit fooked. If the client says you're inside, based on your current working practices, your prospects are not good, other than being lucky and avoiding investigation (e.g., because the client is not very high profile and doesn't have a lot of contractors onsite). If you have collected excellent evidence to the contrary (contract and wp review, evidence collected during contract), then you could carry on as normal (or terminate to reduce exposure) and hope for the best. If you don't have excellent evidence to the contrary and the client is high-profile with many onsite contractors, your best bet is probably to pay up now and call it a lesson learned.

The company sent an email saying all determinations were void. Contractors perform your own, which I did.

Now its sent another saying, previous evaluations stand.. wtf!!

[BABABlackSheep]

I'm at a loss as to why you think this is important - no work was available to be done hence you didn't have any work to do. That's got nothing to do with anything else.

The client thinks everyone is inside - probably for corporate issues coming from above. So you choice ares based on the information you now have:-

1) Assume the rule has always been inside and pay the appropriate tax

2) leave. Now you don't need to 100% leave today but you do need to leave sooner rather than later....

And the agent did warn you so....

Its a big company.

1) I’ll speak to my accountant.

2) As far as I’m aware, no SDS was sent to HMRC.

My concern is what do I do with this new contract?

[eek]

Also as per other post, they didn’t pay contractors for weeks because of no wfh contractor policy.

I'm at a loss as to why you think this is important - no work was available to be done hence you didn't have any work to do. That's got nothing to do with anything else.

The client thinks everyone is inside - probably for corporate issues coming from above. So you choice ares based on the information you now have:-

1) Assume the rule has always been inside and pay the appropriate tax

2) leave. Now you don't need to 100% leave today but you do need to leave sooner rather than later....

And the agent did warn you so....

[jamesbrown]

Your mistake was taking the contract, but that's easy for me to say...

As things stand now, you're a bit fooked. If the client says you're inside, based on your current working practices, your prospects are not good, other than being lucky and avoiding investigation (e.g., because the client is not very high profile and doesn't have a lot of contractors onsite). If you have collected excellent evidence to the contrary (contract and wp review, evidence collected during contract), then you could carry on as normal (or terminate to reduce exposure) and hope for the best. If you don't have excellent evidence to the contrary and the client is high-profile with many onsite contractors, your best bet is probably to pay up now and call it a lesson learned.

[BABABlackSheep]

1. Is the client Private Sector? Am guessing yes.

Yes

2. Ref the email, are they blanket assessing everyone as being inside, OR, are they just saying they refuse to use contractors? If the former, one should be able to report them to the (probably ambivalent) HMRC.

They assessed every role.. every single role was judged inside. I hadn’t joined when they assessed. Got told by the agent to assume inside as everyone else was.

3. Before going down that route, within said email, is there any provision to make them aware that they have to actually assess, and that they should, by April, confer following the completion of an SDS?

They assessed roles last Jan. My role is different than the rest of the project. Also as per other post, they didn’t pay contractors for weeks because of no wfh contractor policy.

4. Have you got a name from whom the email came? Sound like they need to be educated. Easier said than done in a large blue chip.

Corporate mail.