IR35: Planning for April 2021 – should I stay or should I go?

[dx4100]

You've missed, or ignored, my point.

Irrespective of whether I have had my contracts deemed outside (different point), and irrespective of whether Qdos has deemed them outside, it will be the client who decides post April. Making all of that irrelevant, I believe.

So, again, for the benefit of GoT, once the client has deemed a decision, based entirely on their business needs / worries, what Actual difference does that make to us if HMRC come a-knocking?

I am stating, we just invoke IPSE's help and away we go?

Thoughts? (On just this point please)

The concept is to get out of dodge before the client makes a determination.

If they make a determination then you are fairly exposed but closing down your company could limit chance of them looking into your history as people say HMRC have never done this after company is closed.

[simes]

Grief, two replies in and already I'm feeling sorry for myself.

I know this is the concept. Got it. Understood. Am really already fully there and cognisant of such.

My first question is, --WHY?--

Second question, --To What Benefit--

Especially if all we then do, is invoke IPSE's help in exactly the same way as before April 2020.

[simes]

If they make a determination then you are fairly exposed but closing down your company could limit chance of them looking into your history as people say HMRC have never done this after company is closed.

This has no bearing to April 2020 and how to go about acquiring and surviving contracts differently to current day.

It has everything to do with how one may mitigate an investigation in today's world, irrespective of April 2020. We are all, already aware that closing a company mitigates an HMRC successful investigation.

So again, why are people thinking of leaving a contract before April 2020 as though this act is some magic bullet to a) utopia or b) not being investigated?

For my part, if I am in contract with an Outside status prior to April 2020, and come April 2020, I am offered an extension with an Inside status, I have two choices (obviously)
1. Stay, go InsideIR35 and take the financial hit
2. Leave and hopefully find something elsewhere with an Outside status.

But, with choice 1, any subsequent investigation would, to my mind, just incur my invoking IPSE's help and it is BAU.

Yes / No?

[dx4100]

I don’t know how differently to answer your question. I feel its been answered. Anyway good luck and may I suggest an attitude adjustment.

[simes]

Since my questions seem either to be answered with another question, or with an answer To a different question, I beg to differ.

If anyone understands the thrust and answers in kind, you will see a substantial attitude shift, I promise. You might also want to edit out the winking - apparently frowned upon in the professional forums...

[cojak]

I must admit, having read much on this subject, I am not understanding why there is a fear of staying at a contract up to or just past April 2020. What exactly is to be gained by jumping out of a frying pan and into a potential fire?

It is not like the world in a new contract would be any rosier.

Am I right in assuming that people wishing to bring about a full stop to a contract pre April is in case, post April, they are deemed Inside? And that, once judged, one 'believes' there will then follow a retrospective snap judgment into statuses during the entire period of same contract?

I only ask because such client judgments are so far to be believed to be knee jerk reactions based on nothing but fear of the HMRC's wrath. And IF the HMRC wanted to investigate such a scenario, wouldn't we all just invoke IPSE's help in the same way as one would have done to date?

Sorry if I am missing a Big Fat Point.

You don't think that there's a problem staying the same client in an outside/inside contract flip with the same client, so you think that the risk is low.

As I said in the original post - you're welcome to do nothing come next April. I won't advise against your opinion.

[simes]

I thought the purpose of the forum was to dissect issues.

As for whether I think there is a problem, I have already stated in my position, I don't Know if there will be a problem, Of this type, At this time. Hence my saying, perhaps I have missed a Big Point

Having stated My understanding of this April 2020 scenario, I am not sure there is a different problem, (in essence, being investigated), to one we have now which could be circumvented by a scenario already well known to us. 'Closing a company' being one such solution.

And if one doesn't close ones company, and thence get investigated due to some spurious decision made by a fearful client, can one not just invoke IPSE's help?

Ok, happy to leave it. Everyone, Run for the hills.

[cojak]

Basically?

We. Don't. Know.

And running for the hills will depend on knowing if you can run faster than the fella next to you...

(and I closed my company down, FWIW...)

[dx4100]

Basically?

We. Don't. Know.

And running for the hills will depend on knowing if you can run faster than the fella next to you...

(and I closed my company down, FWIW...)

If I was HMRC I would be keeping a very close eye on the companies closing down over the coming months...

[Blert596]

If I was HMRC I would be keeping a very close eye on the companies closing down over the coming months...

I'd hope that HMRC would see any increase in the closing of Ltd Co's as a natural response to the fact there will be no point in having them come April 2020 as opposed to any deliberate evasion technique.

Forever the optimist

As an aside I intend to leave my current position in Dec. Can I start the process of closing down my Ltd now and carry on running it until december whilst the shutdown is in progress? Or do I have to stop completely once the shutdown has been instructed?