The Professional Contractors Group (PCG) last week issued a three-part wish-list to Alistair Darling, the chancellor, ahead of his Pre-Budget Report.
The wish-list included the requests to; Scrap IR35, drop ‘income-shifting’ rules, and provide freelancers a less restrictive business model.
The Professional Contractors Group (PCG) said that freelancers, by their very nature, had become one of the first victims of the recession. The number of freelancers in work had fallen by 12% in the past year, according to a member poll.
“We know from past statements by ministers that IR35 is not known to be a revenue-raising measure”, Mr Bryce wrote. “It is not at all clear that such monies as it raises in extra tax offset the considerable expenditure by HM Revenue and Customs in pursuing the many fruitless enquiries known to us.”
He added that the legislation creates massive and crippling uncertainty for freelancers, as they are unable to self-assess their tax liability under it with any confidence.
The current consensus is that Mr Darling’s Pre-Budget Report will be delivered on November 25th, although the last possible date it could take place is December 2nd.
If you are struggling with all the accountancy options available to you as a contractor, Independent Contractor Services (ICS) can explain them and help you decide which is the best option for you, whether you work within or outside of the IR35 legislation.
Filed under: Contractor News | Tagged: Alistair Darling, ICS, Independent Contractor Services, PCG, Pre-Budget Report
