IR35 centre

IR35 relates to legislation and rules intended to apply a PAYE and NIC charge on earnings from a company or partnership which is termed an "intermediary."

You are just a few seconds away...

This content is only available to our registered users.

Please login or create a free account to access our exclusive range of FREE business guides, bookkeeping software and much more.

An introduction to IR35

For many years, people leaving jobs to become self-employed were advised to instead set up one man companies to provide their services; offering the security of a limited liability company and significant national insurance savings. We offer a brief introduction into IR35.

Who is caught by these rules?

The IR35 rules aim to catch anyone who, by placing an intermediary between himself and his employer, gains some tax (including national insurance contributions) advantage.

How can I avoid it?

There are several ways you can avoid IR35 - although they may not be palatable to you, or your customers.

The problem with deemed payments

If you have established that some of your work will be caught by IR35 and that PAYE tax and national insurance will have to be accounted for on a deemed salary payment at 6 April 2017.

IR35 and cessations

In this series of IR35 guides you will be able to consider the impact of IR35 and the effect it has on those workers providing their services through intermediaries.

Personal service companies

The legislation known as IR35 is intended to tackle the avoidance of tax and national insurance contributions through the use of intermediaries such as service companies or partnerships.

Off payroll working in the public sector

From April 2017 the responsibilities for deciding when IR35 applies have changed for contractors engaged by or for the public sector.

The construction industry

There are special tax rules affecting the construction industry, which are designed to ensure that tax is paid by workers in the sector whether they are employed or self employed.

Interest and tax payments

HMRC charge interest on underpayments of tax, and pays interest (repayment supplement) on overpayments.

Call Back Request

9 + 5 =
Solve this simple math problem and enter the result. E.g. for 1+3, enter 4.

Speak to a
friendly expert
01442 275789

Monday to Friday (8am to 6pm)

SJD Accountancy

SJD Accountancy are the UK's largest specialist provider of fixed fee, Limited company accountancy services to contractors; we've been acting for contractors across the UK since 1992 and have more than 15,000 clients.

We are the only national specialist firm of contractor accountants with offices nationwide. SJD Accountancy has more qualified staff than any other firm in our market with qualifications from the following major tax and accountancy bodies - ATT, AAT, CTA, ACCA, CA, ACA and FCCA.

  • Unlimited face to face meetings. This is a unique service only SJD Accountancy offers - unlimited face to face meetings across the UK - tax is complicated and sometimes only a meeting will do.
  • UK's Largest contractor accountants with more qualified staff. No call centres, no outsourcing, no automated call handling. Simply telephone, email or meet your own dedicated accountant face to face.
  • Money back service guarantee. All your Emails received by 4pm on any normal working day will be answered the same day. Should it be necessary to leave a telephone message it will be answered same day/following day latest or we will make a full refund of that months fee.
  • Outstanding reputation. We have won more awards for customer service and accountancy excellence than any other firm in our market, including: Best Accountant for Contractors, Accountant of the Year and Best Professional Service Team to name just a few.
  • All inclusive low cost fixed fee accountancy package which includes completion of accounts*, payroll bureau, dividends and corporation tax computations, personal taxation, free bookkeeping software, your own dedicated accountant* and all company returns for a fixed fee starting from £120 plus VAT per month. Check our packages for more detail.

If you have any questions about contracting or would like any further advice please call our new client services helpdesk on 01442 275789 or email: janice@sjdaccountancy.com. Our new client services helpdesk is open Monday to Friday (8am to 6pm).

Appoint SJD Accountancy and never worry about your tax or accountancy affairs again.

Form your own Limited company with SJD - our same day online company formation service includes company bank account set up, VAT/PAYE registration and advice on optimum share structure. 

You may also find the following pages, guides and case studies useful:

*If you would like us to complete your company year end accounts we simply ask that you have been a client of SJD for one year or have made 12 monthly payments. All accountants are part or fully qualified.