Legalease Home page
Whats new

 

07/02/2020

HMRC announces change to IR35 off-payroll working rules

Subject: Tax

Source: GOV.UK HMRC

HMRC has announced that the off-payroll working rules will only apply to payments made for services provided on or after 6 April 2020, today ahead of the publication of the government’s review.

The government has listened to concerns raised over the course of the review of the IR35 rules over what payments the rules apply to and from when. The rules will now apply only to payments made for services provided on or after 6 April 2020. Previously, the rules would have applied to any payments made on or after 6 April 2020, regardless of when the services were carried out.

The guidance in the Employment Status Manual has been updated.

The off-payroll working rules have been in place since 2000. They are designed to make sure that an individual who works like an employee, but through their own limited company, pays broadly the same Income Tax and National Insurance contributions as those who are directly employed.

 

Back to What's new list >