HMRC GUIDANCE IN PREPARATION FOR CHANGES TO THE OFF-PAYROLL WORKING RULES (IR35)
Changes to the tax rules for engaging individuals via personal service companies in the private sector come into force on 6 April 2020. HMRC has published new guidance to help organisations prepare for changes to the tax regime. The guidance can be found by following the link below.
Essentially the responsibility for deciding whether the amended off-payroll working rules apply now fall to the organisation which receives the individual services as opposed to resting with the individual. The guidance lays out 4 key steps which an organisation should take to ensure compliance with the new regime.
Click here for full information.
TRANSPARENT AND PREDICTABLE WORKING CONDITIONS IN THE EU
The European Parliament has adopted a proposed directive on transparent and predictable working conditions in the EU which is aimed at benefitting workers without fixed or guaranteed hours, for example those working in the so called “gig” economy. However, it will not apply to those working on average 3 hours a week or less in a reference period of 4 consecutive weeks unless there is no guarantee of any paid work at all. Some of the provisions referred to in the directive in relation to the provision of key information have already been announced in the government’s Good Work Plan although further legislation would be required to bring domestic law into line with the directive in all respects.
In UK legislation, the Employment Rights (Miscellaneous Amendments) Regulations 2019 have now been made. This means that with effect from April 2020, the right to a written statement of particulars in employment will be extended to all workers (currently only applicable to employees). Members should also be aware that the Employment Rights (Employment Particulars and Paid Annual Leave) (Amendment) Regulations 2018 also come into force on 6 April 2020 and provide that a written statement of employment particulars must be given from day 1 of employment.
