With the new reforms to IR35 being effective for the last 7 months, organisations have moved from the initial planning phase through to the implementation and ongoing support phase. This includes conducting individual assessments to ensure consistent and clear communication throughout the workforce supply chain, regular re-assessments, as contracts evolve, with contractors finding their assignment or working practices change, classifying them as ‘inside’ or ‘outside’ IR35. 

HMRC has now begun a campaign of opening ‘compliance checks’ on hiring organisations across a number of sectors including Infrastructure & Construction, Oil & Gas, Aerospace, Rail and IT.

The purpose of these compliance checks is to allow HMRC to ‘support’ hirers in fulfilling their responsibilities under the recently introduced off-payroll reforms to IR35 (implemented in April 2021). As part of the process, there is an expectation that companies will be able to demonstrate their compliance to the new rules through “supplying details on their systems & processes, confirming which assessment methods were employed, and making stats available on how many inside vs outside determinations were produced”.

 This new announcement from HMRC may prompt questions on how you’re ensuring compliance across the supply chain and whether you are providing determinations through the supply chain, automating the movement of determinations and providing a mechanism for dealing with assessment disputes and worker migration to suitable payment options where PSC engagement is no longer appropriate.

Here at Savant we are working with our clients to create a robust and tailored service that not only better equips hirers to engage with HMRC but also presents an enhanced recruitment process to solidify our client relationships through demonstrating our ongoing commitment to offering “best in class” recruitment support.

We are here to assist you if you require expertise as part of your preparation for IR35 or any of the points covered here, Please contact Mehran Yadegari, Managing Director of Savant Technology (mehran.yadegari@savantrecruitment.com or 07874 178 197).