HMRC has updated its check employment status for tax ( CEST ) tool recently. This tool will check whether the IR35 intermediaries legislation applies to a particular engagement in both the public and private sectors.
Around 30 new questions have been updated or included. Up until now, only 85% of cases gave an answer. The updates will hopefully increase this number.
CEST is the only device which produces a result which HMRC will stand by. This is, however, on the caveat that the information which is input is both accurate and the tool is used in accordance with the guidance.
We would strongly recommend that any contractor who is concerned that IR35 may apply to them, should use the tool and if the answer shows that the contract is outside of IR35, then the results be printed off and stored as part of the official records.