The government’s Spring 2018 “Statement” - not Budget - has been timetabled by the chancellor for Tuesday March 13th 2018.The distinction that the statement is not a Budget, nor a fiscal event, was made by Philip Hammond to MPs on the Treasury Select Committee.It follows his pledge at Autumn Statement 2016 that, to make life easier for businesses and other taxpayers, there will be no further Budgets in the Spring, only the Autumn.But the March statement is still an opportunity for Mr … [Read more...]
Autumn Budget 2017: Hammond moves to extend IR35 reforms
A consultation for the much-feared extension of the April IR35 reforms to the private sector was put in place earlier today, when Philip Hammond delivered Autumn Budget 2017.In a move that experts say could hit contracting more than the introduction of IR35 itself, the chancellor said he would consult on the "possible next step" of rolling out the reforms to cover all PSC engagements."How to tackle non-compliance in the private sector, drawing on the experience of the public sector … [Read more...]
Autumn 2017 Budget update
Thanks to Julia Kermode, Chief Executive of the FCSA (Freelancer & Contractor Services Association), for this concise summary of the Chancellor's 2017 Autumn Budget Statement. In the event, there was less news relating to the payroll/recruitment agency/contractor sector than many had anticipated. IR35 reform in the private sector Surprisingly the Chancellor’s speech did not mention IR35 or off-payroll at all so we were left to establish their plans from the red book. Here the Chancellor … [Read more...]
Has HMRC’s blinkered approach changed the NHS forever?
NHS survey: patient care services in crisis as IR35 reforms take their tollPatient care standards in NHS departments are deteriorating rapidly as a direct result of the public sector IR35 reforms. A survey of 450 healthcare locums by ContractorCalculator and the Independent Health Professionals Association (IHPA) shows the NHS is failing to replace critical contract workers who have been forced out of the sector due to IR35 and questionable compliance procedures.25% of respondents have … [Read more...]
Tunnel vision leaves Chancellor on brink of disastrous IR35 decision, warns IPSE
The Chancellor has less than a month to amend his blinkered view of the public sector IR35 reforms and avoid making a grave mistake by extending them to the private sector in the Autumn Budget.This is according to Chris Bryce, chief executive of the Association of Independent Professionals and the Self Employed (IPSE), who has spoken out after concerning reports that changes to IR35 in the private sector could be imminent.“It’s something that we suspected and feared was coming, and we’re … [Read more...]
Private Sector IR35 Hints
Suggestion made that public sector contractor changes will come to private sector.There are indications that the treasury is considering extending 'off-payroll' rules to the private sector. Changes to the IR35 regulations were introduced in in April this year when hirers in the public sector became responsible for determining the status of an assignment to supply services through a Personal Services Company (PSC), government sources have implied that the new rules may be extended to the … [Read more...]
HMRC revises IR35 guidance at public gigs
The taxman has clarified who is potentially in scope of his off-payroll rules, due to “feedback” from those trying to understand them since they were introduced in April.In a small but significant update, HM Revenue & Customs said it had added an explanation into its existing guidance, notably under a section entitled “When… [the] rules don’t apply.”Confusingly, the explanation actually relates to when the rules “may apply.” But a HMRC spokesman hinted it was necessary, calling it … [Read more...]
Are IR35 Enquiries on the up?
The controversy created by the introduction of the public sector rules in April this year, could have understandably led many to believe that IR35 enquiries in the private sector had taken a bit of a back seat. This however seems not to be the case at all, and Qdos Contractor have been notified of a number of new IR35 enquiries over the last few weeks.It’s important to remember that contractors who work in the private sector are unaffected by the changes to IR35 within the public sector and … [Read more...]
Why private sector IR35 reform isn’t inevitable
Two pointers in an otherwise largely acceptable viewpoint piece on ContractorUK last week stuck in my craw, writes ex-tax inspector Carolyn Walsh, managing director of Andraste Accounting and CWC Solutions.And this happened not because my money’s on the public sector’s off-payroll rules not being extended to the private sector, which the piece bets that it will be.The first of the two pointers is rhetorical: “Given that HMRC most likely consider public sector reform a success so far, why … [Read more...]
Decimation in Public Sector: survey reveals severe impact of IR35 changes
A survey from ContractorCalculator has found 76 per cent of public sector departments have lost highly skilled contractors while 71 per cent of projects have been delayed or cancelled. ContractorCalculator says the public sector has been decimated following the controversial IR35 tax reforms that came into effect earlier this year. The company’s survey comes just four months after the implementation of the IR35 changes.Other findings include:27 per cent of public sector contractors left … [Read more...]