Government to review IR35

Posted on 19 Dec 2013
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Government to review IR35 rollout The government is to review the rollout of the controversial IR35 tax plan, which is due to take effect in April 2020 to prevent workers from disguising themselves as freelance contractors as a way to pay less tax. The government said the review, to be concluded by mid-February, would engage with individuals and businesses on their experiences of the implementations of the reforms and that it would also launch a separate review to explore how it can better support the self-employed. Mike Cherry, chairman of the Federation of Small Businesses, called for a delay to the rollout of the new rules in the light of the review: “This important review presents an opportunity to reassess our flawed off-payroll legislation," he said. His view was echoed by Tej Parikh, chief economist at the Institute of Directors, who added: “It’s not immediately clear how any new steps to smooth the process could take effect in time for April. Firms and contractors have already been impaired by the looming deadline and lack of clarity around the rules.”

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