12 July 2019 
Caroline Jones, Employment tax director
The Government has published its response to the latest consultation on the reform of the off-payroll working rules, along with draft legislation. The reform will require organisations to assess an individual’s employment status and determine whether they apply. The organisation, agency or other third party paying the individual’s personal service company will be responsible for deducting any tax and NICs due. The change will apply to large and medium-sized organisations and will bring these organisations in line with public sector bodies.
HMRC will release guidance on the reformed rules from summer 2019. This will include education events such as webinars and workshops and one to one engagement with the largest employers. Enhancements are also being made to the Check Employment Status for Tax (CEST) tool, which are expected to be delivered before the end of 2019.
The draft legislation, explanatory note and summary response document can be found on gov.uk. https://www.gov.uk/government/consultations/off-payroll-working-rules-from-april-2020. Comments on the draft legislation can either be sent to Caroline, who will collate responses and submit them to HMRC or can be sent directly to offpayrollworking.intheprivatesectorconsultation@hmrc.gsi.gov.uk by 5 September 2019.
