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Lords: New IR35 off-payroll tax rules 'riddled with problems, unfairnesses, unintended consequences'

Anonymous Coward
Anonymous Coward

But therein lies the rub. It implies that IR35 has any relation to their employment rights. Nothing about the character or legal basis of the commercial and contractual relationships depends on IR35. It is a regulation that determines how much tax you pay, and by what legal mechanism. A vague and easily broken one, but a taxation regulation nonetheless. If they're declaring that contractors inside IR35 are employees without rights, then so are contractors outside IR35.

Further, if we want to get into the more abstract side of things, it seems to imply that we have the right to trade off our employment rights for more money - i.e. that if we're "outside" it's OK that we don't get holidays or sick leave. Such a right does not exist. If the lobbyists carry on down this route then HMRC will just change tack and start bringing actions against these employers (i.e. the contractors) for not complying with employment law.

Trust me lads, you'd much rather pay a mite more NI.

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