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IR35 will go ahead in April 2021!

We reported on 18 March 2020 that the government announced that the extension of IR35 to medium and large companies in the private sector would not be happening in April 2020 and was being postponed to the following year (April 2021). However, an amendment to the Finance Bill had been put forward which would have delayed the reforms until 2023-24. Last night MPs voted against the amendment to delay and IR35 will still go ahead in April 2021.

The IR35 tax rules are aimed at making sure that where a contractor who provides their services through an intermediary (often their own limited company) would be considered to be an employee if that intermediary were not used, that contractor is subject to broadly the same tax and National Insurance contributions as employees.

For more information on how you can be ahead of the curve in having the right processes for your businesses/clients in place contact our employment law solicitors on 0161 478 3800.

IR35 will go ahead in April 2021!

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