Extending IR35 to the private sector could introduce “a complex web of new rules and liabilities throughout supply chains”.
Medium and large companies in the private sector are set to be responsible for determining the tax status of contractors from April 2020.
With that date looming, the Association of Chartered Certified Accountants (ACCA) has called for a one-year delay in the expansion of the legislation.
It believes a stay of execution will provide enough time to allow a full appraisal of the proposed rules and consider the best way forward for HMRC.
Off-payroll rules were reformed for contractors in the public sector in April 2017, with the aim of preventing what the Revenue regards as ‘disguised employment’. More…