Are you a contractor to the public sector?
Reforms to the off-payroll rules (also known as IR35) come into effect from April 2017 for the public sector. This means that the responsibility for accessing IR35 status will move from the contractor / personal service company (PSC) to the public body that is engaging them.
The reaction from some public sector bodies is that they no longer want to work with Limited companies – as they do not want to have to deal with the hassle of assessing the status of each of its contractor workers.
Contractors are being told to convert to a PAYE umbrella or you don’t have a job.
For many contractors to the public sector this means that they will be left with a limited company which they no longer need.