IR35 ‘Set-Off Mechanism’ To Come Into Force On 6th April 2024

As we highlighted in our recent article on the 2024 employment law changes, a ‘set-off mechanism’ to allow tax already paid to be offset against a subsequent tax liability following an initial incorrect status determination, and thereby address the issue of IR35 double taxation, will come into force on the 6th April 2024. The Income Tax (Pay As You Earn) (Amendment) Regulations 2024 have now been laid before parliament (on the 11th March 2024), and will implement the changes by amending the Income Tax (Pay As You Earn) Regulations 2003.