The off-payroll working rules require cooperation between recruitment agencies and end users in determining and applying IR35 status. For both parties, IR35 status is likely to be a new concept and businesses may not have the suitable resources in place for dealing with reform.
For UK businesses with direct engagements, the rules can be daunting and disgruntled contractors can pause projects, as was experienced in the public sector.
The Qdos Status Review is a compliance management system and contractor testing service with a difference, which can be used for both agency-end user arrangements, and for direct engagements:
- Assessments are made by IR35 experts with nearly 20 years’ experience in the field
- Includes communication channels between contractor, agency, and client
- Ensures compliance with the rules for each party in the chain
- Tax liability insurance is available to cover the risk for the relevant party
The Status Review system reduces the risk of incorrect determinations and involves the contractor in the decision-making process, fundamental in reducing walkouts and disagreements in status decisions, whilst still maintaining the control and approval requirements for the end user.
Recruitment agencies are kept informed of the progress of assessments and ultimately informed of results via the system.