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IR35, How do I know if this is applicable to my company?

Hello I have just started up my own electricial Ltd company, There are two employees.
Can anyone advise me please

IR35 was essentially aimed at things like IT consultants who would setup a company who they would work for, but they'd pay themsleves very little, and then at the end of the year they'd pay themselves a huge dividend (which didn't attract National Insurance).

From what you've described, it won't affect you...

If you go on the HMCE website there is a checklist of questions that will help you decided.

IR35 targets those people who are really employed by one company, but set up a company to reduce National Insurance and generally reduce the tax bill.

The acid test is whether you work for one client all the time. The point about IT contractors is that most work for long periods with one employer rather than going somewhere different each day or week. The contracts are usually six months minimum and usually renewed.

IR35 affects service companies, it is unlikely that an electrical company with two employees would be included in its remit.

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