More clues on IR35
I read this really interesting article about IR35 on the Contractor UK site recently and it evoked more thought. The article serves to enforce my belief that nobody is able to definitively judge an individual’s position in relation to IR35 when they operate in a freelance role out of a limited company as I wrote about in a previous post. However, the article suggests to me that HMRC attempt to discern the general attitude of the freelancer through certain operational behaviours to assess their chance of a “successful investigation”. The quote that says it all to me is;
A HMRC spokesman responded: “Any individual who provides his/her services through a service company to an end client potentially falls within IR35.”
Clearly the HMRC take exception to how individuals like myself position ourselves to pay tax. I strongly believe the whole tax system needs to be strongly and vigorously policed however, it is clear to me that what is required here is clear and sensible legislation not a government department with a chip on it’s shoulder. Then I read something like this about how Barclays are allegedly dodging £1bn every year and it’s difficult not to get angry.
