Not all IR35 training is equal
When it comes to IR35 training within your business, a one size fits all approach simply won’t work.
A number of different people across a range of departments will likely be involved in ensuring IR35 compliance, but their training needs will widely differ, depending on their role – whether that’s making the status determinations, or passing the decision down the recruitment supply chain.
Why IR35 training is vital
At its core, IR35 aims to identify disguised employees, those working as external contractors but operating in the same way as an employee. The distinction is vital, as it affects how these individuals are taxed and how companies account for them. Failure to comply with IR35 can lead to severe financial penalties and reputational damage, making it a significant risk area for businesses.
IR35 training needs to both educate participants at the level of detail and knowledge they need to perform their individual roles, as well as clearly define internal processes they are expected to follow. This variability is precisely why bespoke IR35 training is crucial. A tailored training programme can address the unique ways in which IR35 affects a business, taking into consideration its specific hiring practices and contractor engagements.
The importance of tailored IR35 training becomes even more pronounced when we consider the varied roles within an organisation and their respective responsibilities towards IR35 compliance.
IR35 training for Hiring Managers
Often at the frontline of engaging contractors, they need training that equips them with the skills to identify when a role might fall inside IR35 and understand the implications of these decisions. Being able to accurately assess contract roles from the outset and use assessment tools such as HMRC’s Check Employment Status for Tax (CEST), can significantly mitigate the risk of non-compliance.
IR35 training for Directors and senior management
These stakeholders play a pivotal role in setting the tone and governance around IR35 compliance. Training for this group needs to underscore the financial and reputational risks associated with IR35, share relevant case law, and ensure they have the knowledge to oversee compliant practices. As well as looking at how the business can embed a culture of compliance within the organisation.
IR35 training for HR and Talent Acquisition teams
These departments often form the backbone of implementing IR35 compliant hiring practices. Their training should focus on the procedural aspects, including the checks and balances needed to ensure IR35 has been managed accurately ahead of onboarding. They’ll also need a clear understanding of the status disagreement process and how IR35 compliance is documented, should HMRC look for evidence that reasonable care has been taken to adhere to the legislation.
Getting IR35 training right
Given the complexities and evolving nature of IR35 legislation, engaging with an external IR35 specialist partner offers numerous benefits. These experts provide a depth of knowledge and experience that can be invaluable in navigating the intricacies of compliance. They can offer bespoke training, tailored specifically to the needs of your organisation and stakeholders, and ensure that your teams are up to date with the latest legislative developments. Moreover, specialist partners can provide ongoing support, helping to review contracts and working practices, thereby ensuring that your business remains compliant over time.
Our Linx IR35 experts work with companies to identify their training needs, before creating programmes that are driven by your internal processes, combined with their in-depth knowledge of the off-payroll working legislation. They also carefully consider how that training should be delivered to best engage each audience, from online training resources to face-to-face workshops, blending the right learning techniques to ensure comprehensive training and mitigate the risk of non-compliance.
CONTACT US
If you’re looking for support to ensure you have the right IR35 training in place in your business, then our team can help.