HMRC Publishes Information about its IR35 CEST Tool
Editor | 24 March 2020
/ / / /

HMRC’s Check Employment Status for Tax (CEST) tool has been a touchy subject for contractors that want to find out if they will be inside or outside IR35. 

The online tool was first introduced in 2017 to help contractors and their engagers judge employment status for tax purposes and, ultimately, how a contractor will be taxed.

The service asks a series of questions based on key legal criteria. It helps provide a judgement in most straightforward cases, with assistance in more complex cases available through a handbook and the HMRC call centre.

Bittersweet Budget for Struggling Contractors

Contractors praying for a delay to IR35 changes in the private sector will be disappointed by the Chancellor’s budget statement yesterday, but there were several positives that we can take away as well.

 

IR35 Contractors: Act Fast to Avoid Wind-Up Tax

Limited company contractor that are caught under IR35 arrangements may need to act quickly if they want to close their companies and make the most of lucrative tax incentives.

If they wish to continue working flexibly, these contractors will also need to think carefully about how they offer their services, according to  Umbrella.co.uk Director Miles Grady.

“Because we offer limited company support, umbrella payment solutions and a business liquidation service, we are in the best position to help a growing group of customers that have been caught out by IR35,” Miles Grady said.

Half of contractors plan to quit workforce as Lords launch enquiry
Editor | 18 February 2020
/ / / /

Half of all contractors plan to leave their posts ahead of scheduled changes to the way that IR35 ‘off-payroll’ rules are applied in the private sector.

Changes to the off-payroll rules are due to take effect in April, when large and medium sized companies will be made responsible for judging a contractor’s employment status and potentially subtracting income tax and national insurance from their monthly pay.

IR35: 43,000 Companies Warned by HMRC
Editor | 30 January 2020
/ / / /

HM Revenue & Customs is in the process of issuing 43,000 letters to private sector businesses, warning them to consider the employment status of their contractors ahead of IR35 reforms in April.

These reforms mean that private sector engagers will be responsible for judging their contractors’ employment status for tax, rather than the individuals themselves.

IR35 Reforms Delayed for One Year
Editor | 18 March 2020
/ / / / /

The government has announced that changes to IR35 rules in the private sector will be pushed back by one year, due to disruption caused by the coronavirus.

 

CIS worker? Why wait for your tax refund? You could be due £2,000 plus!
Most CIS workers have overpaid tax last tax year.  Why not let us prepare your 2019/20 self-assessment now to release any tax windfall you might be due? Maybe use it to book a nice summer holiday or pay off a debt that's weighing you down?
 
The refund you may get back depends on 3 things: Your CIS deductions, total earnings and business expenses. The average tax refund for our customers is £2,300. In some cases you can receive several years of overpaid refunds, if you're eligible. CIS tax can be claimed back for the previous 4 years.
 
Call our Customer Services Team on 01625 546 610 (option 1) or email customerservices@umbrella.co.uk before the end of May and we guarantee our discounted price of £100 + VAT!
Eamonn Holmes Loses Expensive IR35 Case
Editor | 27 February 2020
/ / / / / /

Eamonn Holmes has become the latest TV star to lose an expensive IR35 tax case with HMRC.

The veteran This Morning presenter enjoyed certain tax advantages because he was working as a contractor through a limited company.

However, after the taxman challenged his employment status in court, a judge ruled that the Holmes was effectively employed by ITV.

How Brexit will Affect Contractors Working in the EU
Editor | 6 February 2020
/ / / /

Britain officially left the European Union on January 31st, but a transition period remains in place until the end of December 2020.

During this transition period, British people can continue to live and work in the EU without restriction.

Recruitment Giants Plead for IR35 Rethink
Editor | 27 January 2020
/ / / /

Leading recruitment companies have urged the government to delay and ultimately rethink IR35 reforms, warning that the tax changes will damage the industry and wider economy.

Fourteen companies including Adecco, Harvey Nash, Hays, Reed and ManpowerGroup wrote to Chancellor Sajid Javid last week pleading with him to reconsider the changes that affect off-payroll contractors working through limited companies.

Under the new rules, contractors working in the private sector will no longer be responsible for judging their employment status.

Pages