Update to IR35

Set to come into effect in April 2020, the changes to the IR35 laws were put on hold last year in light of the COVID-19 pandemic that swept across the globe. As our government and economy focussed on rapidly calculating and assessing ways to help us stay afloat through a year of unprecedented economic turmoil, non-urgent law changes were pushed to the bottom of the priority list.

However, one year on and IR35 is back on the agenda and set to officially come into effect on April 6th 2021. This time last year, in order to help our clients prepare for these changes and ensure they were compliant, we worked with employment law specialist Helen Wyatt from Keystone Law to put together an article that clearly explained what IR35 is, how you will be affected and what changes you need to make to ensure you are compliant.

For those in need of a re-fresh to the legislation changes (which we imagine many will be as we have all had a lot of other things to contend with during the last 11 months!) you can read that article here. All the information in it still applies and it’s a very useful tool to help you understand if you will be affected, and if so, what you need to do.

How can Anderson Hoare help you with IR35?

Come April 6th you may decide that workers who were formally contractors are in fact ‘employees in disguise’ meaning they now need to paid by PAYE to ensure your company is compliant with the new IR35 laws. Where this is the case, to lessen the burden on some of our clients of making this transition, we have worked with them to migrate their contractors onto our payroll alongside our existing temp workers. The benefit of this to you as the client is that you do not have to concern yourself with tax deductions; you will simply receive weekly invoices and still have the same teams in place without any of the stress or hassle of sorting this new payment process out. We have worked with a number of clients in this situation and while it requires some work up front it has proved very successful and a much easier way for them to manage paying contractors affected by IR35.

If this sounds like something you would like to talk to us about then please do not hesitate to get in touch with Di on diana@andersonhoare.co.uk. We can tell you everything you need to know and help ensure that any changes you have to make are done as seamlessly as possible.