The IR35 Tax Proposal

The much-attacked ``IR35'' UK tax changes have already significantly harmed my IT consultancy business that has taken over a decade to build up.

I have spent a great deal of time and effort in correspondence and lobbying to try to get this IR35 measure blocked or overturned, since while I have never exploited any of the loopholes it claims to block, I am being penalised by being unable to operate my business effectively. Clearly, other legitimate businesses are in danger too.

Write to your MP! Contact the Trade Minister Patricia Hewitt and the E-Envoy.

My major points are summarised in the letter I sent to Michael Wills MP, the then Parliamentary Under Secretary of State for Small Firms Trade and Industry and copied (amongst others) to his successor in the role, Patricia Hewitt MP, also ``e-Minister''.

Here is some of the material in more detail:

• Correspondence up to 1st August 1999, with Dr Jenny Tonge MP (my constituency MP), Derek Wyatt MP (chairman of the All-Party Internet Group), and Michael Wills MP then Minister.
• Correspondence up to 1st October 1999, with Derek Wyatt MP, the DSS, and Dawn Primarolo MP as Paymaster General.
• Correspondence up to 31st December 1999, with Derek Wyatt MP, Dr Jenny Tonge MP, and Patricia Hewitt MP, ``e-commerce'' Minister.
• On 2nd March 2000 I again wrote to Patricia Hewitt MP; you can see her response at the end.
• On 5th April 2000 I wrote to Patricia Hewitt MP and Alex Allan following an intriguing item in Business Day.
• Oct 1999 article on IR35 in ``Business and Technology'' [p1 p2].

News

2022-09-23: Good news for UK tech contractors as govt repeals IR35 tax rules.

2022-10-17: ... and Too bad, contractors: UK government reverses decision to axe IR35 tax reform.

Links

• See the Professional Contractors Group.
• The Engineer Job site.
• The Inland Revenue IR35 area.

Damon