I've seen a lot of chat around what happens or is likely to happen if you get a determination that moves you inside IR35 but what about the many people who won't even get to the determination? The people who have had the ultimatum and faced with a super crappy market are now looking to voluntarily go inside maybe at the same client site doing a similar role?
What steps should a contractor who considers all of their previous contracts to have been outside IR but has been forced (due to market forces) to now move inside without any determination, take in order to avoid any retrospective HMRC action? From what I've read, people in this situation are inadvertently going to be at the top of the list for HMRC investigations when the dust settles.
This is what I've come up with so far with no advice/legal insight. Interested to hear what people think.
1) If there is any reference to a role title or description in the contract make sure that it's different in the inside contract that any previous outside contracts.
2) Make sure that there are named deliverables in the new contract that are different to the old contract.
3) Wind up your limited company (My understanding is that even if you have others contributing to the limited company, it would be best to close and for the other contributors to open a new company if necessary as there is less likely to be a retro investigation if there is no money in the company and it is no longer trading.)
What steps should a contractor who considers all of their previous contracts to have been outside IR but has been forced (due to market forces) to now move inside without any determination, take in order to avoid any retrospective HMRC action? From what I've read, people in this situation are inadvertently going to be at the top of the list for HMRC investigations when the dust settles.
This is what I've come up with so far with no advice/legal insight. Interested to hear what people think.
1) If there is any reference to a role title or description in the contract make sure that it's different in the inside contract that any previous outside contracts.
2) Make sure that there are named deliverables in the new contract that are different to the old contract.
3) Wind up your limited company (My understanding is that even if you have others contributing to the limited company, it would be best to close and for the other contributors to open a new company if necessary as there is less likely to be a retro investigation if there is no money in the company and it is no longer trading.)
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