The budget Red Book says that Off Payroll rules will be spread from the contamination of the public sector to the private sector in April 2020. Its a bit sneaky putting it out immediately after the budget, whereas before it might have been better but the real issue is that HMRC appear to have an extreme form of that dreaded infirmity – selective hearing.
The HMRC response which underpins their ‘listening’ stance has been issued and is shown here
The IIM asks that people have a look at the responses and endeavour to read them alongside the IIM submission to get a flavour of just how much listening has gone on. To make this easier, you can find the IIM submission here
We have 18 months to try and minimise the damage this is going to cause. The Institute welcomes any comments and contacts with offers of support to try and bring a little more sense to the whole approach.
Is it really “fair” that interims :
- Lose their right to determine their own tax status (with HMRC)
- Have a third party (client or intermediary) do it for us
- Pay the same amount of tax as a ‘feather-nested’ employee with all the attendant employment protection rights and security that current legislation offers?
- Do not access unemployment and related benefits between assignments and with no income stream or guarantee of further work
- Take on the risk of operating in business on our own accounts with no longer any recognition of this from the tax system?
If you agree with these points – or any of them really – then please get in touch and register your dissatisfaction and seek to get involved with a coordinated effort to stop the carnage.