Article

IR35: agencies affected by the changes

18 July 2019 | Applicable law: England and Wales

Agencies may in some circumstances be liable to operate PAYE on behalf of clients for contractors who have been classified by the client as self-employed.

Your business may also find itself caught in the middle between contractors who resist being reclassified and clients who wish to play safe and take a blanket approach.

The Government has now published its responses to a recent consultation on the details of the new rules with further information here. Concern is growing that nevertheless there will be little time for individuals, agencies and organisations to prepare. The industry is also concerned about the need for improvements to the existing online assessment tool, which many regard as not fit for purpose.

How can we help?

If you are concerned about the effects of the IR35 changes and what this may mean for your business, we can help you:

  • understand the implications of the new rules;
  • undertake an audit of the contractors and clients with whom you currently work to assess areas of risk;
  • consider whether adjustments need to be made to your business model and documentation;
  • advise who will be liable to make the payment of PAYE and NI in a given situation; and
  • help you find creative but legally compliant solutions to the problems thrown up by the new rules.

Speak to a member of our employment and tax teams to find out more.

This document (and any information accessed through links in this document) is provided for information purposes only and does not constitute legal advice. Professional legal advice should be obtained before taking or refraining from any action as a result of the contents of this document.

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