What is IR35? IR35 Explained

Do contractors want to work Inside or outside IR35?

If you are a genuine professional contractor, freelancer, interim or consultant who is in business on your own account, you are likely to be outside IR35. However, this should always be confirmed with a robust status determination by an independent party with proven competency in IR35 matters.

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All contractors would like to remain outside IR35 and stay engaged outside. They consider themselves in business on their own account, having chosen to be their own boss and not become their clients' employees.

However, to ensure there are no future issues with the tax authorities, all parties should carry out accurate, robust status assessments to help defend against an inspector of taxes who may seek to claim the engagements are "Inside IR35".

Ignoring IR35 is a terrible idea. Ignorance is not a defence and could result in a massive tax bill.

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