Brexit and your tax situation – what does it all mean?

Whether you voted for or against Britain’s departure from the EU, it’s likely that as a freelancer or independent contractor, you have questions regarding the position in which this leaves you as a self-employed person.

Clearly, we’re in a period of financial instability and nobody can say with any certainty how things will pan out. However, as far as tax-related issues are concerned, we feel that a handful of questions need answering and it’d be remiss of us not to give them some attention. With this in mind, we put the following questions to the good people of My Accountant Friend.

Given that David Cameron has announced his intention to resign, it seems likely that George Osbourne may also leave – or at least change his role. Therefore, where do we stand on proposed changes to IR35

As you’ve pointed out, the fate of the Chancellor of the Exchequer has yet to be decided, so without knowing whether he’ll be replaced, or by whom, it’s difficult to know what the next set of opinions on IR35 will be. In our opinion, we think that Brexit may take the spotlight off it.

It’s worth considering what have to say about it: ‘at this time of economic uncertainty, it would be unwise to restrict the flexible labour market’ – although that’s obviously an opinion and no more than a potential option open to those who take control.

Similarly, where do you see Making Tax Digital (MTD) going?

While it’s possible that the lack of a Chancellor (or change of person and opinion) could lead to a delay in this process, we’re obviously all for its continuation. As an online accounting company, we are involved with HMRC in helping with the quarterly online corp tax submission. Online accounting is definitely the way forward.

Are there any other up-and-coming tax-related points you’re keeping an eye on? 

Although not strictly to do with Brexit, we’ll be announcing some SEIS investment opportunities for our customers in the near future.

If you have further concerns or questions regarding Brexit and your tax situation, don’t hesitate to get in touch. We’re here to help you out. 

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