IR35 invoice | Cabinet Office on the hook for £38.5m bill to HMRC over IR35 non-compliance
The UK Cabinet Office faces a £38.5 million tax bill plus up to £8.9 million in penalties from HMRC after the government department reportedly failed to take reasonable care in applying IR35 off-payroll working rules dating back to 2017, according to HR Grapevine. The case is a high-profile reminder for HR and procurement leaders of the compliance stakes around contractor classification under IR35.