Orange & Gold Blog

Orange & Gold see first example of Government departments assuming contractors caught by IR35

A PSC contractor client of Orange & Gold has received a letter from his client, a Governement quango, requiring evidence of his deemed salary calculation or payslips. IR35 has been applied. Otherwise, a discussion about next steps with the group FD at the client and threat of the contract being cancelled.

The rationale for this seems to stem from a reaction to Danny Alexander's paper in May 'Review of Tax Arrangements of Public Sector Appointees.' There seems no indication at this stage of any consideration given to role, contract, personal circumstances, business structure or the other factors that influence IR35 status.