temporary work and IR35 rules

bewilldered

Temporary working opportunities for public authorities are covered by the IR35 rules which came into effect on 6 April 2017. Since then when making a temporary role available the end employer (a public authority, health trust, etc.) has to assess and define if the role is either IR35 in scope (where tax and national insurance contributions are deducted at source) or IR35 out-scope (where no deductions are taken at source). The IR35 rules specify that an end employer must state the IR35 assessment before a contract is entered into or started. What is the legal situation for a public authority to alter the IR35 category after a contract has commenced, and without any prior notification, part way through the contract start to deduct contributions and seek to claw back such from payments already made ? What is the legal situation in addition when such retrospective claw back is made to an earlier separate and completed / finished contract of temporary employment ?

Brynsam

Who drafted the contract(s)?

motorguy

bewilldered wrote: »

Temporary working opportunities for public authorities are covered by the IR35 rules which came into effect on 6 April 2017. Since then when making a temporary role available the end employer (a public authority, health trust, etc.) has to assess and define if the role is either IR35 in scope (where tax and national insurance contributions are deducted at source) or IR35 out-scope (where no deductions are taken at source). The IR35 rules specify that an end employer must state the IR35 assessment before a contract is entered into or started. What is the legal situation for a public authority to alter the IR35 category after a contract has commenced, and without any prior notification, part way through the contract start to deduct contributions and seek to claw back such from payments already made ? What is the legal situation in addition when such retrospective claw back is made to an earlier separate and completed / finished contract of temporary employment ?

There should be two separate contracts and on that basis, they have no authority or juristiction to try to claw back tax from a previous contract. Not their problem and i'd be querying why they're getting involved?

dlmcr

Well did you get your contract(s) reviewed by QDOS or similar first to make sure it was IR35 compliant? In fact never mind what the contract says, what are your working practices since that should give you a good idea of whether you are in or out. Direction and contraol? Ability to appoint a substitute? Line Manager? B2B relationship? Do you tell your client when you will be having time off or do you ask their permission. etc. You get the idea. Go to contractor forums, they are knowledgable on this sort of thing and have a whole section on public sector contracting.

prowla

It's not up to the client to deduct tax & NI from a supplier; if they do then you are their employee.