IR35 Reforms To Be Delayed For A Year Due To Coronavirus

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Steve Barclay, the Chief Treasury Secretary has announced that the IR35 tax reforms are to be pushed back by one year.

Speaking at yesterday’s Budget debate, he confirmed that the changes, which will clamp down on tax avoidance by targeting contractors for companies who are, in practice, providing the same service as employees, would not go ahead in April.

Instead, the measures will come into effect on 6 April 2021.

The move is part of a broad package of measures the Treasury has announced to protect the economy from the coronavirus outbreak.

It was confirmed that the decision was “a deferral, not a cancellation, and the government remains committed to reintroducing this policy”.

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