The October 2018 budget introduced an extension to the Intermediaries legislation, which is usually referred to as IR35, and will come into force from April 2021 for medium and large businesses in the private sector.
HMRC are increasingly concerned about ensuring workers are on the payroll, and that PAYE is operated properly, and the proposed changes in legislation show their commitment to improving these practices.
This will be a major policy change for many private organisations across all industry sectors, with many businesses needing key advice to implement it effectively & correctly.
Experience suggests that private sector businesses will require all of the time afforded to them to prepare for the change. Failure to prepare and be ready for April 2021 could result in significant:
Labour supply issues
Business continuity issues
Liabilities to tax, National Insurance also interest and penalties
Are you ready for April 2021?
IR35 advice for businesses
Below Employment Tax Partner, Richard Maitland delivers a 2-minute update on everything you need to know about IR35 and how your organisation should prepare for the April deadline.