After the HMRC consultation on details of the off-payroll rules reform between 5 March and 28 May 2019, the government has now published draft legislation.
Coming into force from 6 April 2020, the rules may have an impact on all individuals supplying their services through an intermediary, such as personal service companies (PSC). Recruitment agencies, medium and large-sized organisations that engage with individuals through PSCs will also be affected.
The off-payroll working rules are designed to ensure fairness between individuals working in a similar way. To increase compliance with the existing off-payroll working rules in the private and third sectors, medium and large companies will become responsible for assessing an individual’s employment status and ensuring the right tax and National Insurance contributions are deducted.
SRG are currently working with clients to discuss processes and provide guidance on next steps and have produced guidance for workers impacted. We will continue to publish any updates on our website. If you have any queries, please contact IR35@srgtalent.com.