IR35 - What an expensive waste of time that's been

[merc_man]

Excellent article in The Register after the PCG obtained information about the amount of tax raised under IR35.

The Register said:

HMRC is spending an extra £1bn in chasing up tax evasion and you can see what a paltry amount it is collecting for its trouble. All the cases being fought in the High Court and at the Special and General Commissioners over IR35 have just been a monumental waste of effort.

According to the PCG, HMRC has won just a handful of tax investigations out of thousands. Indeed, of the 1,468 IR35 investigations PCG has been involved with, HMRC proved additional tax was owed just six times. The Government can’t continue to waste its own time, and that of HMRC and countless IT contractors, over a tax that probably costs more to collect, with sundry litigation costs, than it brings in.

[Eric Mc]

Correct forum?

Anyway, don't disregard IR35 - all the same.

[Paul1972]

They could make a start on claiming all the Capital Gains Tax that the various MP's have avoided with their dodgy property dealings!! That would instantly give the department justification in public eyes i'm sure!!

[merc_man]

Could be the wrong forum, but it is news and reasonably political and economic.

Never have discounted IR35 Eric, my contracts and my business affairs are always arranged to be about as IR35 proof as you can be.

[Fittster]

So the law will be tighten to get more cash. As an IT contractor I do it because I pay a fraction of the tax I did as a permie. I'm always amazed at what I can get away with as a contractor that I couldn't as a permie.

With the states finances in such as mess I can't see how it can go on.

[Eric Mc]

merc_man said:

Could be the wrong forum, but it is news and reasonably political and economic.

Never have discounted IR35 Eric, my contracts and my business affairs are always arranged to be about as IR35 proof as you can be.

I wasn't having a go at you. Tt isn't always clear what the right "home" for a topic is these days.

[merc_man]

I know that Eric, 'twas merely a wry remark on my part too. U suspect in really belongs in Computer Games as everyone knows us contractors sit here playing minesweeper all day.

[Eric Mc]

I'd hamg on to that fact if I were you. Employees would never get away with that so I think that constitutes proof positive that IR35 DOESN'T apply.

In fact, get a "Minesweepers" clause put into your contract.

[ewenm]

I use my work-time PH posting as evidence I'm not an employee