I’m unsure if you meant the above literally, but if you did this actual guidance seems to disagree - the default position if a contract is found inside ir35 is that the company receiving the service will make some tax deductions but otherwise pay the payment to the contractor’s own company as before:
https://www.gov.uk/guidance/april-2020-changes-to-off-payroll-working-for-intermediaries#your-responsibilities-from-6-april-2020
In many ways the end effect is the same as if the service company did not exist though, and admittedly in the case of a contractor only having inside IR35 contracts then it doesn’t make sense to have/use a PSC in most cases.
It’s important to remember though that there are few if any inherent reasons why a person who does not receive holiday pay should pay less tax than an employee who does. The lower costs for the employer by not paying holiday pay etc should be catered for in the pay the former person negotiates, giving them extra income to compensate for the lack of benefits.
Biting the hand that feeds IT
