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Why a ‘Statement of Work’ isn’t the panacea for all outside IR35 assignments

The major headline for using a Statement of Work is that due to its outsourced nature it takes away responsibility of determining the IR35 status of an assignment from the end client. But it’s not that simple, the SoW can be a powerful way to ensure you’re working outside IR35 properly, but if the HMRC does choose to investigate then they will be assessing on both the working practices and the realities of how the assignment was carried out; not solely on what is written in the Statement of Work. So, you have to make sure that the work you’re going to be completing actually falls under a SoW.

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