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HMRC launches employment status online tool

From 6 April 2017 public sector organisations will be required to decide if contractors who work for them off their payroll are subject to the IR35 rules.

HMRC promised an online tool to help. The “employment status service tool”, referred to by HMRC as the ESS, came online at the beginning of March and corresponding guidance has been published.

While primarily intended for use by public sector bodies who use the services of off-payroll workers, the Employment Status Service is also set up for use by those who work for them. This could be via their own company, partnership or other intermediary such as an agency who places contractors (or their businesses) in work with a public sector body.