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PCG backs coalition government to review IR35 legislation
Posted May 18, 2010
The PCG has welcomed the formation of the new coalition government, and says it hopes both parties will push for the abolition or full review of the IR35 legislation.
The contractors' group acknowledges that tacking the huge hole in the public finances will be the top priority for the new administration, and points out that it is essential for the nation's contractors and freelancers to be able to operate unhindered by unnecessary red tape and unfair taxation.
John Brazier, MD of the PCG commented:
"We are obviously in uncharted waters. However, PCG has established a good working relationship with both the Conservatives and the Liberal Democrats in Opposition, and we are confident this will continue in Government. Both parties have expressed the need for change with regards to IR35, and both parties value the flexible, skilled workforce PCG members provide."
Positive signals over potential IR35 review
Both parties have pledged to at least review IR35 if they came to power - as part of a general review of small business taxation.
The Tories, in particular, plan to set up an independent Office of Tax Simplification to create a "clearer, lasting and fairer tax regime".
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