Government publishes November 2018 IR35 Forum minutes

30 January 2019

 

  • Draft legislation for the extension of IR35 rules expected in the summer

  • Consultation on the detail of the reform is expected in the New Year 2019

  • HMRC has ‘challenged’ the public authority over blanket decisions and ‘provided education and support to correct the position

  • Forum members raised concerns over inability to prepare until medium to large sized private companies have sight of the legislation and supporting guidance

  • Meetings with stakeholders underway to discuss the CEST tool improvements

  • Wider reform of the employment status rules would be a “longer-term issue” whereas there is an “immediate need to tackle non-compliance in the private sector with the off-payroll rules

  • HMRC confirm that they will focus on ensuring businesses comply with the rules rather than targeting historic cases

Aspire Comment

The Forum minutes contain the first discussions which took place following the announcement that the off-payroll rules would be extended into the private sector with effect from April 2020.

Whilst we still have no guidance, consultation or draft legislation, the Forum minutes do provide us with an expected timescale of when these documents will be published.

The minor reference in the minutes to HMRC re-issuing its policy paper on Mutuality of Obligation (“MoO”) could easily be missed despite the controversy and media storm the position caused when it was published in 2018. HMRC have advised that we can expect their updated paper on MoO before the next meeting which is currently scheduled for 28 February 2019.

To read our news on the previous meeting minutes, click here.