HMRC will soon have the power to decide if your limited company freelancers are
actually your employees – and if they are, to impose huge penalties on your firm.
There are two ways to prepare.
1. Go through your consultants one by one and highlight those
who invoice you via their own limited company
2. Use HMRC’s CEST tool to see if the off-payroll rules apply (90% of
consultants and the firms that use them fail the legitimate self-employment test)
3. Ask contractors who fail the test if they are willing to become employees
4. If so, negotiate a new deal so they don’t suffer financially
5. If not – or if the extra cost of 40% or thereabouts is unaffordable
– stop using contractors
Talk to the experts . . . call us now on 01262 401040
We’ll tell you about our proven IR35 solution, which enables your firm and
its consultants to continue to operate safely under the new regime.
It’s simple, straightforward and guaranteed.
And it spares you from the shift in risk, responsibility, and red tape.
From next April construction companies with more than 50 employees, a turnover of
£10.2 million or assets of £5.2 million must comply with the new IR35 regime.
And even if your business is below this threshold, it’s still worth a chat to ensure
you and your consultants are fully compliant with HMRC’s current rules.
Full details of the IR35 changes are due to emerge in the government’s
Draft Finance Bill this summer.
Complete this email to get the full details as soon as they are available.
HMRC predicts 90% of firms will FAIL the new IR35 tests, but Hudson Freelance clients have nothing to fear – guaranteedGet in touch today