Technical factsheet: Treatment of off-payroll arrangements – IR35 summary

The aim of IR35 is to seek to prevent contractors avoiding tax and national insurance contributions (NIC) by treating them as employees for tax purposes. They do not, however, have the benefits due to employees under employment law, such as sickness benefit, holiday pay, maternity benefit etc. IR35 tests for employment are different for income tax and NIC, and may yield different results for the same purpose.