IR-35 Review

IR35 is the legislation for freelancers and contractors by the government who manage there independent business affairs through limited companies. The purpose of the legislation is to ensure that the freelances & contractor should also accept the level of risk, responsibility, liability & control as director of the limited business accept.

If the level of risk, responsibility, liability and control of a freelancer accountant is same as those of the permanent member of staff then IR35 legislation will become applicable which mean you will be considered as employee of the business and you have to pay full tax and full National Insurance on you Business withdrawals. This is because in HMRC Opinion are not bearing enough Financial Risk or Sharing the same level of control as the director of the ltd company does so your shouldn’t be entitled for any such tax relief in Ltd company tax structure.

Due to the complexities involve, It is the most Important area for freelancer contractors so the professional advice must be considered before commencement of any assignment as if required so the adjustment can be made in order to complied it with HMRC regulation.

We have the expertise & experience in carry out IR35 contract reviews for Ltd company contractors. We will provide you with the detailed report along with the detailed response on which clause are caught by IR35 and would require changes, which clause could be problematic and which clause will reduce the chances in getting caught in IR35.

In essence, HMRC will be able to get an estimate of the difference between the outside IR35 taxes that have already been paid and the ensuing inside IR35 tax that is payable according to the new offset regulations.

In order to ascertain the status of your contract please email us at [email protected].