Reform the IR35 Tax Regulations introduced in 2000.

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Petition Action

Reform the IR35 Tax Regulations introduced in 2000.

Petition Details

The IR35 Regulations, introduced in 2000 to address the differences in liabilities due to HMRC between an employee and a self-employed freelance contractor providing services under a limited company, is a highly subjective, unclear and disproportionate piece of legislation that should be amended.

Additional Information

Specific reforms sought are:

Absolute clarity for a contractor of his/her IR35 status prior to a contract being signed so that appropriate rates can be negotiated.

Within IR35 status calculations:

Have sufficient allowances for expenses, particularly for travelling freelance contractors (rather than just 5% currently).

Exempt ENICs from the IR35 calculations, as regular employees do not pay ENICs.

Build sufficient allowances into the calculations to recognise a lack of employee benefits.

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