Essentially this is legislation is aimed at reducing “disguised employment”, where organisations may engage with limited company contractors to avoid paying Employers National Insurance, and for interims who are deemed to be doing permanent roles, via personal service companies to pay less tax. For a clearer understanding, I would certainly recommend viewing the advice on our website, which has been compiled with Brookson Legal, a leading IR35 specialist law firm.
Importantly, let me say what it isn’t:
- It isn’t legislation preventing organisations from employing interim managers.
- It isn’t legislation preventing organisations from using interim managers to cover permanent roles.
Both of these are common misconceptions I have heard, although it’s true that it may change the way in which the interim is paid.