Legal News | 19.02.21
New IR35 rules
New IR35 rules, which were due to come into force in April 2020, have now been delayed until 6 April 2021. Currently, those working in the private sector are solely responsible for determining employment status of contractors they use. This has previously provided companies the opportunity and incentive to pay the wrong amount of tax.
From April 2021, eligible large and medium sized organisations engaging contractors through intermediary companies will also be responsible for assessing the employment status of those contractors.
Organisations will need to meet at least two of the below to have to do this:
- Have over 50 employees;
- Have a net turnover in excess of £10.2m;
- Have over £5.1m on their balance sheet.
If you would like more specific advice on how these changes could affect your business please get in touch with your usual contact or email: email@example.com.