Personal Service Companies

If you supply your services to a third party via an intermediary, such as a service company or partnership, you may be covered by the rules of IR35 - Countering Avoidance in the Provision of Personal Services. Similarly, if you receive services from someone covered by IR35, you need to know how to deal with them to comply with the legislation.

The stated purpose of the new rules is to remove opportunities for the avoidance of tax and Class 1 National Insurance Contributions by the use of intermediaries, such as in circumstances where an individual worker would otherwise be an employee of the client or the income would be income from an office held by the worker.

If you believe you may be affected by this legislation, please contact us for advice on the best way to structure your affairs.