Call for immediate private sector IR35 preparation

After the recent publication of minutes from the last IR35 meeting, held in last December, and careful analysis, Contractor Calculator CEO and founder Dave Chaplin said that there are clear indications contained within it that the government is intent on introducing the controversial reforms to the private sector and may do so as early as April 2019.

The government believes its recent public sector IR35 changes have increased compliance and that “possible next step would be to extend the reforms to the private sector.” This omits any references to clear instances in the public sector in which the reforms have actually increased non-compliance,  as Chaplin noted.

Chaplin said that the Revenue was “simply turning a blind eye to all these issues in a bid to get more money into the government’s coffers.”

The call for beginning of preparation for arrival of rebooted IR35 regulations comes from the leading tax specialists for contracting professionals, Qdos Contractor.

Qdos Contractor CEO, Seb Maley, outlined the need for private sector engagers to begin preparing for the widely expected changes. Mr Maley said:

“Yet another hint from the Government and the refusal to rule out further IR35 reform adds more fuel to the fire that changes will be introduced to the private sector perhaps as early as April 2019.

Contrary to speculation, private sector engagers could manage reform – but work must start now if they are to be confident and ready to make well-informed IR35 decisions the time these predicted changes arrive.

“Given further reform looks increasingly likely, private sector engagers must communicate with the contractors they engage and ensure them they will be taking appropriate steps to make accurate IR35 decisions.”