Tax Faculty clarifies IR35 situation
The Tax Faculty has moved to clear up any confusion surrounding this week's IR35 judgement by publishing new guidance on its website.
Despite Judge Mr Justice Burton dismissing the case of anti-IR35 body the Professional Contractors Group, some contractors were left unsure as to the outcome following the PCG’s upbeat press statement.
But the Tax Faculty notes say very little has changed.
‘Those that were clearly within IR35 before the case will be so now. Those that were outside will remain outside,’ it states.
However, it does offer an olive branch for campaigners against the hated tax measure:
‘What is likely to result from the case is that the Revenue may revisit some of its guidance. It has stated that it will “look at the Judge’s remarks to see if there are any amendments that need to be made to clarify any of the wording”.’
The advice, in the form of a Q&A, features guidelines on what to do next, what the case really means, key deadlines and what the judicial review means for IR35.
Links
What does the IR35 decision this week mean for tax advisers?
AccountancyAge.com IR35 resource centre
IR35: Contractors escape double tax hit