IR35 SOLUTIONS

From April 6th 2021 Clients must decide if UK Contractors should be taxed as Self-Employed (Outside IR35 / LTD) or like an Employee (Inside IR35 / PAYE).

For years, all CCL Contractors have been working compliantly Outside IR35, which has meant Clients do not have to pay Employer’s NI, and CCL can pay 100% of their LTD invoices.

CCL provides its IR35 Contract Review Service to clients so that this can continue, handling all the administrative burden. There is no fee to existing clients for CCLs IR35 Contract Review and just a nominal payroll fee for new clients.

CCL IR35 Contract Review Service
• interview Contractor / Client to audit Working Arrangements
• complete IR35 Questionnaire, approved and guaranteed by HMRC
• send HMRCs Inside/Outside determination to the Client for approval

For Outside IR35 Determinations
• draft the Status Determination Statement on behalf of the Client
• issue the SDS to Contractors (a legal requirement)
• issue Outside IR35 Contracts to Contractors
• no change to Client Contract or Charge Rate
• continue to pay Contractor 100% gross of LTD invoice
• continue to invoice on a time & materials timesheet basis
• quarterly IR35 audit and issue new Scope of Work Schedules

For Inside IR35 Determinations
• advise how to adapt Working Arrangements to be Outside IR35

For Inside IR35 where the Working Arrangements cannot be adapted
• CCL offers PAYE payrolling without any admin charge
• note the Contractor will be 13.8% worse off, due to Employer’s NI
• tax will also be at the 20%/40% rates, with no LTD expenses allowable
• Contractor Net Retention will reduce by as much as 25%
• or negotiate rate-rise, rate-loss, staff role or termination

Benefits of CCL IR35 Contract Review Service
• satisfy HMRCs requirement to take reasonable-care by using a 3rd party
• the only admin for Clients is to approve the SDS and send it back
• Clients will not suffer rate increases
• Client’s risk is mitigated against Employment Rights by engaging Contractor via CCL
• Contractors will not suffer rate losses

Please also contact us for expert advice on any FAQs such as non-UK clients, overseas projects, Employment Rights, Direct Contractors, IR35 insurance, Substitutes, SDC (Substitution, Direction & Control), Expenses, Retrospective Audits etc.

For more information please contact ccl@cclglobal.com +44 20 8333 4156 quoting IR35 Contract Review