IR35 Compliance Check

If you are selected for an HMRC IR35 compliance check both wording of your contract and the way you carry out your work and the duties under your contract will be examined to determine your employment status for tax purpose so its important that as well as your contract the actual service provide by your company and the relationship it has with its end clients is not one of an employee and employer.

HMRC would look at the nature of your relationship with your clients such as;
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• Control - are you in control or are managed by your client.
• Substitution - can you in practice send someone else to conduct the task you been contracted for.
• Employee Benefits - you do not receive benefits such as Sick pay, Holiday pay & Invitation to company events.
• Equipment - Do you use your own equipment, as a contractor would provide their own equipment while an employee will have equipment provide for them.
• Notice Period - having a notice period in your contract could be viewed as though the relationship is one of employer and employee and trigger an investigation.

For more information or a contract review please contact us on ​​​[email protected].