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UK industry calls for delay of IR35 off-payroll tax rules to private sector


Meanwhile we find out that as part of the roll out of the changes in the Public Sector the Civil Service Head of People (Not a creepy title at all) was suggesting to Public Sector managers in a letter to departments that they should consider shopping contractors who left the Public Sector as a result of the changes, to HMRC.

Copy of the Letter here - NHS Wales Website.

Relevant paragraph on page 6.

"Hiring managers must discuss the contractor’s intention to stay with them. Permanent conversion or longer-term extensions to contracts beyond April may be attractive to some, offering role security. Hiring managers must also make it clear that by remaining in the public sector and having their tax affairs managed through payroll makes them compliant with the off-payroll rules. If it appears they are choosing to go and work in the private sector to simply maintain ‘outside of IR35 status’ you could consider informing HMRC, who may take action to investigate the contractor’s tax affairs further. "

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