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My comment around IR-35 is that it has caused a lot of confusion and thus made contracting a lot more difficult as a result. A lot of freelancers and contractor
by EpicQuest_246 2y ago
My comment around IR-35 is that it has caused a lot of confusion and thus made contracting a lot more difficult as a result. A lot of freelancers and contractors have been affected by this.
- jimnotgym 2y agoContracting made a bit more difficult, freelancing totally unaffected. It was always pretty easy to check at below. Every contractor I have ever met seems to know about umbrella companies... It was not a great regulation, and seemed to affect government contractors the most, which was a bit of an own goal. But it never affected Freelancers https://www.gov.uk/guidance/check-employment-status-for-tax https://www.gov.uk/guidance/check-employment-status-for-tax
- EpicQuest_246 2y ago> Contracting made a bit more difficult, freelancing totally unaffected. That isn't true. It has made contracting a lot more difficult. I am in a number of freelancer groups and it has affected them. I have heard the same from recruiters, from freelancers, from people that run job boards. > Every contractor I have ever met seems to know about umbrella companies Most contractors run their own private LTD (like I did). They don't use umbrella companies because you are put on PAYE and you end up paying through the nose in tax. Typically you get a third party to check a contract for you to see whether it falls under IR-35. I could do it myself, but I would rather pay someone to check it for me. Many contracts will require you to have IR-35 "insurance" which feels like a scam, but it is required a lot of the time by the contract. This is in addition to PL and PI insurances.
- jimnotgym 2y agoStop conflating freelancers and contractors! Totally different rules.
- EpicQuest_246 2y agoI am not. There is no official government distinction between contracting/freelancing/consultant, see here: https://www.gov.uk/contract-types-and-employer-responsibilities/freelancers-consultants-and-contractors https://www.gov.uk/contract-types-and-employer-responsibilit...
- jimnotgym 2y agoThere is a distinction in the English language though
- EpicQuest_246 2y agoI am sorry but you were pretending through the whole conversation as if they were treated differently by HMRC when they aren't.