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Off-payroll still going ahead as planned

Julian Ball

Julian Ball | Legal Director

Thursday 2nd Jul, 2020

Off-payroll working legislation still set for April 2021

The off payroll rules will still go ahead in 2021 after a motion to delay it a further 2 years was defeated in the House of Commons last night. This means the Finance bill will now move to the reporting phase before being passed to the House of Lords. It is therefore now time to start to begin your preparations.

Paul Malley, Managing Director said,

“Last year we saw lots of agencies and end clients had underestimated the work involved in getting ready for the changes. This created a great deal of stress for the IR35 project teams. However, the deferral gives businesses time, once life starts to get back to normal, to ensure their processes and procedures are ready for April. We expect that IR35 projects will start sooner this time to try and eliminate any last minute rushes”.

Speak to PayStream

Whether you are looking for advice on your IR35 processes when working with PSCs or whether you are looking for a tried and tested way to switch your PSCs over to umbrella, we are here to help.

 

Mitigate IR35 risk with our IR35 portal

Our industry leading IR35 portal helps agencies manage both their own and their client’s obligations under the off payroll legislation. We carried out thousands of IR35 reviews in the run up to April 2020 giving comfort and clarity to agencies and end clients who wanted to continue to work with PSCs in a compliant way and enabling them to correctly advertise roles as inside or outside IR35. Clients include Red Bull, Tecnicas Reunidas, Ganymede, CIM, Contechs, Galliford Try and Siemens, to mention but a few.

Our innovative portal allows for completion of IR35 questionnaires online. This could be by the contractor, agency or end client depending upon your preference. A status decision is given in each case following a review by our in-house IR35 team in consultation with any party nominated by you.

Here are just some of the key features:

  • Online submission of questionnaire
  • Expert review by our specialist IR35 team
  • All information gathered, saved and retained onlin
  • Audit trail of who has reviewed the information (including agency and/or client contacts)
  • Online availability of the review outcome and reasons for the decision (our “Status Determination Statement”) – access and preferences set by you
  • Ability to create a supply chain sign off process
  • Built in status disagreement process to allow outcomes to be appealed

 

Seamless switcher process

Of course not all contractors will be able to work outside IR35 and some will need to be switched to an umbrella solution. We have been helping agencies seamlessly switch their contractors over to our umbrella service for many years. During March and April of this year we onboarded thousands of new umbrella contractors where clients continued with the implementation of their plans despite the delay to the legislation.

We can identify your potential switcher population, assist with communications and provide regular reports as your contractors move seamless through our online joining process.

Our experience means that your contractors are switched with minimal disruption freeing up consultant time.

 

We’re here to help

So whatever stage you are at and whatever help you need, you can count on PayStream to have the expertise, knowledge and experience to advise and guide you through these upcoming changes. You can find more information on our IR35 Comply Service here, or simply email IR35@ and we will be in touch. If you’d like more information on our switcher process please contact your local CRM or email info@.

Related article - Private sector changes

“Off-payroll working” legislation is the next complex issue to face the temporary labour market and it will be introduced in the private sector from April 2021.

The legislation means that from April 2021 the responsibility for determining a contractor's IR35 status moves from the contractor to the end client, with the person paying the PSC (usually the agency) being responsible for deducting the necessary tax, if IR35 applies.

Find out more
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