IR35 For Agencies and Recruitment Consultants

IR35 has mainly been the concern of contractors since the rules came out. But recently, with the introduction of the Managed Service Company (MSC) rules and the Debt Transfer (DT) rules, IR35 risk and MSC risk have become major concerns for employment agencies and recruitment consultants. The thought of being lumbered with a bill for the tax and penalties of a contractor cannot be an appealing one.

But many employment agencies and recruitment consultants do not understand these rules sufficiently to protect themselves. In many cases agencies are taking preventative measures where there isn't actually any risk at all (for example by declining to deal with offshore umbrella companies), yet failing to take action where the risks are huge (for example by dealing directly with self employed contractors rather than via intermediaries).


How Can Antony J. Holdsworth & Co Help?

Antony J. Holdsworth & Co has extensive experience in the IR35 arena. We have been involved in this niche area since our inception. Our tax consultant has defended hundreds of contractors in IR35 cases and has never lost. An amazing record. He has even audited the solutions of some of the biggest scheme providers in the IR35 business such as Giant and Actinium.

With our experience in this area we are able to help employment agencies and recruitment consultants ensure their arrangements are sufficiently robust against the IR35, MSC rules and DT rules.

We offer two solutions for agencies which we outline further down the page.

Why Should Agencies Use Our Solutions?

It's simple. By using them, agencies can rest assured that they have done their very best to protect not only themselves from the IR35, MSC and DT rules but also their clients and their contractors. This they can use to their advantage to obtain the best clients, the best contracts, and the best contractors. After all, who will want to deal with an agency that potentially poses a financial risk?

Solution 1: IR35 & MSC Critical Review

Our "IR35 & MSC Critical Review" (developed especially for employment agencies and recruitment consultancies) is an intense ONE DAY audit of your contractor arrangements.

The "IR35 & MSC Critical Review" covers:

At the end of the critical review we give you a report which includes recommendations and an overall score. We present this report to you during a one hour meeting.

We provide all this for a fixed fee of £1750 + VAT anywhere in the UK.

If you would like to arrange an IR35 & MSC Critical Review for your agency, follow this link for our contact details: IR35 Accountants. Alternatively, please complete the 5 second enquiry form below:

Please contact me about your IR35 & MSC Critical Review for agencies.

Solution 2: Detailed IR35 & MSC Inspection

If the overall score for your agency in its IR35 & MSC Critical Review (above) is less than 70%, it means the review has uncovered more than an acceptable number of shortcomings in your contractor arrangements causing an excessive level of risk for your agency. If this is the case, one of the recommendations in the report will be that a Detailed IR35 & MSC Inspection is carried out.

Whereas the IR35 & MSC Critical Review takes an “audit” type approach and makes use of samples, the Detailed IR35 & MSC Inspection looks at everything to which a current risk is attached that is investigable by HMRC. It is more probing than the critical review and takes longer.

The fees for the Detailed IR35 & MSC Inspection can be agreed in advance but will vary from agency to agency. The IR35 & MSC Critical Review will give us sufficient information to be able to quote a fixed fee if a Detailed IR35 & MSC Inspection is required.

If you are an agency have not yet had an IR35 & MSC Critical Review completed, please complete the 5 second enquiry form above.

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