Beat IR35 - avoid being unnecessarily trapped.

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Introduction:

We have identified what we believe to be the five main things you need to do to make your position with regard to IR35 a strong one. We do not suggest these are the only things you can do or that these suggestions will make you bomb proof with respect to IR35. But we do think if you pay close attention to these that your position will be strong.

1. Contract:

Before signing your contract, you should make sure it is a well drafted contract. A badly drafted contract can place a genuinely self employed contractor unnecessarily in the IR35 firing line. Contracts are not easy to get amended once they have been signed, so it is best to get it right before signing.

Our "IR35 Enquiries" section looks at what the Revenue scrutinise in a contract during an IR35 investigation. Our "Contracts" section looks at what a well drafted contract ought to contain. It will be worth you reading these sections so that you understand more clearly what is at stake.

However, whatever you do, you should not rely on your own expertise and what you have learned from our website to assess your contract.

Provide a copy of your contract to a firm of professional advisors who have expertise in reviewing contracts for IR35 and get their opinion. It may cost a couple of hundred pounds, but it will give you peace of mind and, if the contract is poorly drafted, will enable you to get it corrected. You should obtain a contract review for each new contract.

The other tip we would mention (which we also mention in our "Contracts" section) is that you should always try to ensure that the contract your company has with your agency is the same as the contract your agency has with your client. Read our "Contracts" section to understand why.

2. Working arrangements:

If you have read our "IR35 Enquiries" section, you will know that during an IR35 investigation your contract will not be the only thing the Revenue will look at. The Inspector will also consider your physical working arrangements to make sure they are consistent with your contract. Furthermore, if you have read our "IR35 Enquiries" section, you will have learned that the Revenue do even consult contractors' clients regarding this WITHOUT notifying the contractors first!

Our second tip, therefore, is to clarify in writing with your client exactly what your physical working arrangements will be. In this fashion, if the Revenue were to consult your client before notifying you, you and you client will have already agreed your physical working arrangements and what your client describes to the Revenue is therefore unlikely to be at odds with your contract or your agreed understanding of the physical arrangements.

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Full index of pages:

Home Page IR35 Background - page 1 IR35 Background - page 2 IR35 Background - page 3

IR35 Rules - page 1 IR35 Rules - page 2 Beat IR35 - page 1 Beat IR35 - page 2

Beat IR35 - page 3 Beat IR35 - page 4 Ltd Company - page 1 Ltd Company - page 2

Ltd Company - page 3 Ltd Company - page 4 Umbrella Companies - page 1

Umbrella Companies - page 2 Composite Companies - page 1 Composite Companies - page 2

Composite Co - page 3 Composite Co - page 4 MSC - page 1 MSC - page 2 IR35 Insurance

IR35 Investigations - page 1 IR35 Investigations - page 2 Contracts - page 1

Contracts - page 2 Contracts - page 3 Resources 1 Resources 2 Resources 2 Sitemap