Following the implementation of new ‘off payroll’ remuneration rules by public sector bodies, a leading provider of IR35 solutions (Qdos) has created a public sector contractor package which includes contract reviews and a certification pack to demonstrate compliance with the new requirements.
As a result of the recent audit into public sector remuneration, commissioned by Danny Alexander (Chief Secretary to the Treasury) earlier this year, there are now strict guidelines in place to help ensure that all public sector workers are meeting their ‘income tax and National Insurance obligations’.
All limited company contractors who are assigned to contracts lasting 6 months or more, and who are earning £220 or more per day must now provide formal assurance to their departments to demonstrate that they are complying with the IR35 rules.
According to official guidance (see a summary here), all contractors must either voluntarily work within IR35, take all income as salary, use the HMRC contract review service to demonstrate compliance with IR35, or prove compliance via an independent review service.
Qdos Public Sector IR35 Solution
Seb Maley from Qdos described what the solution includes:
“The Qdos Public Sector IR35 Solution effectively has two main facets. Firstly Qdos will undertake a comprehensive review of your written contract and working practices. If there are any areas that could be improved we will work with you to ensure you are in as good a position as possible. We will happily speak to your agency on your behalf with regard to any problems with the contract.
“Once everything has been reviewed and we are comfortable with your position we will create a ‘certificate’ that can be presented to the public sector body you are working for. This will confirm that we, as IR35 specialists, consider that you are outside of the legislation. It will also summarise all of the positive elements of your contract and working practices. Again, if your client has any queries we will be able to speak to them directly.”
For a general overview of IR35 protection, try this useful guide from Contractor UK.
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