Knowledge Bank > Business Tax > Personal Service Companies
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01: Introduction

The personal service company rules prevent individuals saving tax and national insurance by interposing a limited company between themselves and their ‘employer’ or client. The rules – also known as 'IR35 rules' after the number of the press release in which they were first announced – come into play only where, if the individual worked directly for the client under the same terms, he or she would be taxed as an employee.Last Updated