Figures have been released showing that the IR35 tax regulations are producing an average of just £1.5 million a year in tax revenues.

The disclosure came after the Professional Contractors Group (PCG) used the Freedom of Information rules to request exact sums on the amount of tax raised for the exchequer by IR35. [Source: PlanIT Chartered Accountants]

Between the tax years 2002/03 and 2007/08, IR35 managed £9.2 million in government income, the equivalent to £1.5 million annually. (more…)

CUK forum members have uncovered an apparent Conservative policy to refuse to back a parliamentary motion calling for the repeal of the controversial IR35 tax rule. (Source: Contractor UK)

Two posters – DiscoStu and Ardesco – have reported receiving the same stock email in response to a request for their MP to sign the motion. DiscoStu’s reply was written on the MP’s behalf by his researcher, whilst Ardesco’s was written in the first person. The message discusses IR35 in some detail, but explains why the MP “feels unable” to back the motion to repeal the rule. (more…)

Contractors would be wise to proceed with caution as the dust has begun to settle on the Budget’s announcement that higher rate tax relief will be capped on pension contributions. Tony Harris of independent financial advisers ContractorMoney explains why. (Source: Contractor UK) (more…)