IR35 & freelancers

parawhat

Morning all

I'm in the process of setting up as a freelancer (Ltd company) and just had a few questions for those already doing the do:

1. Do you draft your contracts to be IR35 compliant?
2. Has anyone had any run ins with HMRC over IR35 issues?
   
3. Who do you use for your PI? (Hiscox?)

Cheers

Jonny

richallum

Morning and welcome to the outsourced side of things :-)

1. Yes, ours are worded so that we don't fall within IR35 because, well, we don't!
2. No
3. It's complicated, DM me.

Speak to an accountant about IR35 before you do anything.  Having a nice contract doesn't mean you're exempt if the service you supply is IR35.  Also, speak to a good solicitor about your contracts and TOBs.  Speak to Bridget Jukes here.  She's done all our contracts for 15 years and I've referred a number of new outsourcers to her so she know's what we do.  Mention my name and you'll save some time.

parawhat

Thanks for the reply Richard and Bridget's details - I'll likely be getting in touch with her shortly.

I think it's this particular contract I'm looking at that's causing the issue IR35 wise - it's longer term, more regular, so more exposed to attack than, say, project work from multiple different clients. Oh well, I'm sure I'll manage to get it sorted! 

Nathan

Hey Parawhat,


I am sure that I or some of the other outsourced paraplanners might be able to give you the occasional piece of work to ensure that you are not just working for one client?  I must admit I am not a specialist in this area, but it might work?

Nathan

parawhat

Cheers Nathan. That was my plan as it couldn't do any harm and I need to be thinking about diversifying my client . Please feel free to PM or drop me an email at jonny@para-flex.co.uk if anything comes up.

The reality is I'd have to be pretty unlucky to be singled out for an IR35 review, but I do know a couple of contractors in other industries that have, so better to be safe than sorry!