Reforms to the off-payroll working rules (IR35) are set to be implemented for the private sector on 6th April 2021 – following the announcement of their postponement in March 2020 due to the impact of the Covid-19 pandemic.
These reforms will bring significant changes to the way contractors in the private sector are taxed in future. This webpage aims to guide you through the fundamental changes that are taking place and address key questions from clients and candidates about the legislation.
If you have any questions about the changes, please reach out to IR35@manpowergroup.co.uk.
Over the past 12 months we have been working closely with our Clients, Contractors and Suppliers to ensure the implementation of the IR35 reforms have minimal impact on operations and that businesses are well prepared. The recent announcement confirming the deferral allows employers to review their IR35 programme preparations and to plan on how to bring them forward for April 2021.
We will continue to update these pages with more information.
From 6 April 2021, the responsibility for applying the off-payroll rules will move from the contractor to the ‘end-user’. And, where an individual is ‘inside’ the rules, it will be the responsibility of the ‘fee payer’ to make the appropriate deductions as required by HMRC, such as income tax, employer and employee NIC and the apprenticeship levy.
Click on the tiles below to find out how these changes will affect you, and see a glossary of IR35 terms.
Watch this video sharing top tips to prepare for IR35.
Watch our first IR35 summary today to better understand:
Watch our second IR35 Update today to gain insights into: