Off-payroll working rules from April 2020 - HMRC consultation

By Technical Team on 13 Mar 2019

HMRC consultation on the implementation of the reform of the off-payroll working rules from April 2020 .

The consultation confirms the Government’s intention to extend the off-payroll rules (which currently apply in the public sector) to the private sector from April 2020 and asks for views and information on a number subjects, including:

  • using the existing statutory definition within the Companies Act to determine whether or not a corporate entity is small and how to adapt this definition for non-corporate entities, and any unintended consequences of excluding small private sector (not public sector) entities from the off-payroll rules;
  • information requirements for engagers, fee-payers and personal service companies, and whether engagers should have to provide a status determination direct to workers/whether intermediaries should have to pass on status determinations down supply chains to the worker, and how this might go wrong or could be simplified; and
  • addressing status determination disagreements, including a requirement for the engager to say why they have reached a particular decision on status and what process there should be for settling disagreements on status.

The consultation also sets out how businesses can prepare for these changes, and HMRC’s plans to provide education and support for businesses that will be in scope.

Please send any comments to technical [at] ciot.org.uk by Tuesday 30 April.

Technical Team

Posted in: Open Consultations