On 5th March the consultation document was released for the private sector. The consultation was largely as expected although HMRC clearly wants to place even more responsibility and liability on the supply chain than in the public sector.
In April 2017, there were major changes to how IR35 is operated in the public sector. Historically, the contractor supplying his company’s services to a client was responsible for determining whether IR35 applied to the assignment. However, from April 2017, this responsibility shifted to the client, with the agency (as the fee payer) becoming responsible for deducting tax from payments to the PSC if IR35 applied.