Extremely confused... IR35 refusal

[dodgy_Dave]

I've just had the oddest thing happen to me.

An umbrella company is refusing to... no, hang on, I need to go back a bit further...

Bloke gets his first contract. I tell him he needs an umbrella company, he finds one. The umbrella company get in touch. We send them the contract.

And we get a response that says

"In our opinion this contract falls within IR35 legislation. Therefore, unless it is modified to fall outside IR35 we will not be able to work with [contractor]"

I am absolutely flabbergasted. A company not taking on a contractor because the contract is inside IR35?? Have I fallen into some sort of parallel universe??

[Bel]

If it's a PAYE solution this is, indeed, very odd, because the contract terms are irrelevant. Perhaps it's a scheme that only takes on IR35 compliant contractors to justify an offshore solution instead of a PAYE one? I know that these used to exist because I enquired about these myself few many moons ago and IR35 friendly contracts were mandatory.

[uptonaccountants.com]

These guys for real!!

[hugo@gabem]

I'm with Bel, are you sure that they are actually an umbrella and not operating some other system?

[uptonaccountants.com]

Completely agree.....IR35 status is pretty irrelevant for Brolly's and is one of the reasons people join these in the first place!

[Beefy198]

Amazing....

[Azeey]

Or the employee at the umbrella was a pleb. Think about it, it's not completely out of the question...

[JeffreyC]

I would recommend you tell your contractor to run away, and run away fast from this scheme.

And Azeey does have a point.

[monstro]

I would second that. The scheme is either run by morons or you just happened to come across the thickest umbrella company employee in existence.

In any case, not that promising for anyone.

[Azeey]

Originally Posted by JeffreyC

And Azeey does have a point.

I always have a point.