It's been an uncomfortable relationship and now tax professionals are ready to divorce IR35, but what will become of the children of this controversial legislation? Chris Leslie reports.
Ten years ago, the Inland Revenue released a press release which said:
"IR35 is not a difficult problem to solve; it is only difficult when you don't understand what IR35 actually says and more importantly what the law itself says."
It's a statement that still haunts HMRC today and the guidance and practice around matters concerning employment status remain out of date. To put it rather simplistically, the competing views about IR35 perhaps boil down to one side advocating carefully prepared clauses captured in the written form of a contract; whilst the other side went...