HMRC’s IR35 – what is it and does it affect you?

By NUBSLI | Published on 31 May 2017

Last updated on October 7th, 2020 at 2:02 pm

Related: HMRC IR35
If you are a NUBSLI member you can download the guidance on IR35 that Unite has created for union members. You will need to be logged in to view this.

Read the transcript

There has been much confusion and panic lately over the new HMRC IR35 rule. Some interpreters have wrongly been told that this will affect them. If you are a freelance interpreter that works for several different services this does not apply to you.Here is a very quick low down on the IR35 and what it is for….

The aim of the new HMRC IR35 tax rules was seen as a way to prevent people who are considered as being ‘bogus self employed’. These are people who are claiming to be self employed (to presumably save themselves from paying the higher rate of tax) but who only work for one employer. In introducing this new tax rule, the hope is that these people will be rooted out and unable to continue using this tax dodge.

Unite explained to us:

“The new rules relating to off pay roll taxes remain unclear and are open to varying implementation by different public sector organisations; however IR 35 rules should normally only apply to people who work for one organisation. We are looking to establish that the new IR35 rules only apply to those who would have been employed if they had been engaged directly by public sector organisations, for interpreters we believe our members would not have been employed because they are genuine freelancers who work for a range of different organisations”.

If you have been affected by this and are being told that you will be subjected to the new rules, despite working for several organisations we would recommend that you write to the organisation in question explaining that you work for several different organisations and ask for a rationale for their treatment of IR35.

Once you receive a response, contact NUBSLI and we will be able to support you further.

Read more about IR35 on HMRC’s website