Off-Payroll Working Rules (IR35): Who Qualifies and What You Get
Understand how IR35 rules impact locum dentists working through limited companies and how to determine your employment status for tax purposes.
These rules determine whether you should pay tax as a self-employed individual or as an employee when you work through a limited company.
Who it's for
This applies to locum dentists who carry out their work through a limited company rather than as an individual.
What you get
The scheme provides clarity on your employment status for tax purposes. This helps you understand whether your working arrangement is viewed as being "inside" or "outside" the rules.
What it costs you
You may need to use an official assessment tool to determine your status. If the rules determine you are working "inside" IR35, you may face higher tax requirements.
The catch to know
Simply having a limited company does not automatically mean you are "outside" the rules. Your actual working relationship and how you operate your business determine your status, not just the legal structure of your company.
How to apply
- Review your working arrangements to see if you act like an employee or a business.
- Use the official CEST tool to help assess your employment status.
- Consult with a tax professional if you are unsure of the outcome.