The long-anticipated extension of the new ‘IR35’ rules into the Private Sector will start on 6 April 2021.
These major employment tax changes will affect any medium or large-sized businesses who engage individuals via personal service companies (PSCs). These end clients will have significant new obligations to assess the employment tax status of PSC contractors who work for them and to operate PAYE / NIC accordingly. Experience suggests that businesses in the private sector will need all the time available to them to prepare for the changes given the potential challenges around :- Labour supply issues
- Business continuity issues;
- Liabilities to PAYE / NIC plus interest and penalties.
- Richard Maitland, Partner
- Alastair Wilson, Partner
- Gordon Thrower, Senior Tax Manager
- Clair Williams, Senior Employment Tax Manager
- Rachael Matthewson, Tax Manager