The House of Lords Economic Affairs Finance Bill Sub-Committee has written to HM Treasury setting out major concerns about the extension of the IR35 off payroll rules to the private sector in April 2021 and requesting postponement until the difficulties identified have been resolved. The concerns include: evidence that since the announcement of the new off-payroll working rules, many private sector companies have made blanket status assessments of contractors without determining individual circumstances; some large companies have decided not to engage contractors at all; witnesses felt the Check Employment Status for Tax (CEST) tool lacks credibility; and, by April 2021, will businesses have recovered enough from the COVID-19 crisis to be able to bear the additional burden imposed by the new off-payroll working rules?
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