Wilde Recruitment Limited has a dedicated payroll team who have extensive experience of managing payments to contractors/freelance workers both in the UK and Internationally, providing a highly efficient and confidential service.
With the tightening of tax, social security and employment issues both in the UK and across Europe, and the ever-changing employment regulations, clients are under increased pressure to ensure that the Contractors/Freelance personnel they engage are fully compliant.
Both IR35 and 3rd Party liability regulations mean that clients have had to increase their awareness of the issues and potential liabilities of engaging directly with Contract/Freelance personnel, with the issue of compliance in both these areas needing to be addressed from both the perspective of the end client and the Contractor/Freelancer.
Changes to the IR35 legislation that came into effect as of the 6th April 2017 moved the responsibility of assessing IR35 away from the worker / Personal Service Company (PSC) to the ‘end-client’.
This change not only moved the responsibility for establishing the Temporary Workers IR35 status; but also, critically the liability resulting from any unpaid taxes and NI by the temporary worker to the end client or the Intermediary closest to the temporary worker’s PSC/Limited company as a result of the IR35 being incorrectly assessed.
With HMRC having made it clear that it intends to push these changes through into the private sector by April 2019 and hence the liabilities for unpaid tax and NI onto end user clients – compliance is becoming increasing business critical.
IR35 - Time Table
1. IR35 consultation to be launched before or during 13 March Spring Budget
2. Consultation to conclude late Summer/early Autumn
3. Announcement of proposed private sector changes in November Autumn Budget
4. Legislation to go live in April 2019
Audits: Companies that hire Contractors direct are increasingly being visited by authorities to check on compliance.
During these visits, Companies are being audited to ensure that all wage tax and social security premiums have been correctly withheld and paid over to the authorities. These audits often encompass not only current but also past contractors, some going back as long as five years.
These Audits can raise several potential issues for those companies hiring DIRECT;
- Who is employing or has employed the Contractor/Freelancer?
- Is the Contractor/Freelancer employed in a compliant way with regards to tax, and social security etc.?
- Can the Contractor/Freelancer be perceived to be deemed as inside scope of IR35?
- Does the Contractor/Freelancer require a work permit?
In engaging the Contractor/Freelancer through Wilde Recruitment Limited, our clients are compliant and mitigate future liability.
In addition to the confidence that your contractors are engaged compliantly you also benefit by cost savings from reduced administration.
Running a weekly Self-Employed Contractor/Freelance payroll places both administrative and cash flow burdens on clients. For a small fixed fee per time sheet Wilde Recruitment takes away both the administration burden reducing your costs and in addition helps your cash flow.
The Limited Company Contractor is contracted to you via Wilde Recruitment Ltd – Contracts are fully compliant and in accordance with the REC (Recruitment Employment Confederation).
Once approved by you; our Payroll team are responsible for checking the time sheet and invoice and making payment to the contractor on a weekly basis.
If you have more than one contractor you will benefit by receiving a single invoice; resulting further in less administration.
You will benefit by having payment terms of *30days standard.
*Subject to credit check
For further details and costing please contact: Mike Kelly - Tel DD 0161 - 474 - 6850, EM: MKelly@wildejobs.co.uk