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alto.

ACCA accountants for UK creative and marketing agencies. Specialists in agency cash flow, retainer math, and director tax planning.

Alto Accounting Ltd86–90 Paul Street
London EC2A 4NE
Company No. 15343741
Registered practice

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Home/Resources/IR35 status checker
Free assessment tool

Check your IR35 status in 3–5 minutes.

Answer a few questions about your working arrangement and get an instant read on your likely IR35 status. Based on the same factors as HMRC's CEST tool, with clearer questions and contractor-friendly guidance.

Start the assessmentGet a professional review
Takes 3–5 minutes · Anonymous
Based on HMRC CEST factors
3,200+ checks completed
CESTSubstitution · Control · MOO
IR35
Hub-and-spoke
What we assess

The four IR35 factors

Substitution, control, mutuality of obligation, and financial risk — the same lens HMRC uses, asked in plainer English.

Substitution

Can you send a qualified substitute to do the work in your place?

01

Control

Who decides how, when, and where the work is carried out?

02

Mutuality of Obligation

Is there an ongoing commitment to provide or accept work?

03

Financial Risk

Do you bear financial risk for the work you do?

04

TL;DR

  • IR35 status determines whether you pay tax like an employee or contractor (20-25% difference)
  • Three key factors: substitution, control, and mutuality of obligation (HMRC CEST-based)
  • Clients with 50+ employees must make the determination (since April 2021) (Private sector rule)
  • You can dispute a determination through the client's disagreement process (SDS required)

Built by Alto Accounting — ACCA Chartered Accountants specialising in UK agencies

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On the desk

Understanding Your IR35 Assessment

  • 1Inside vs Outside IR35. Being 'inside IR35' means you're deemed an employee for tax purposes, with PAYE and National Insurance deducted at source by the fee payer. Your take-home pay reduces by approximately 20-25% compared to outside IR35. Being 'outside IR35' means you're treated as a genuine business, retaining contractor tax benefits including optimal salary-dividend extraction strategies, corporation tax relief on business expenses, and VAT flat rate scheme advantages. The difference in annual take-home on a £60,000 contract is approximately £12,000-£15,000.
  • 2The Three Critical Factors. Substitution: genuine right to send a substitute without client approval strongly indicates outside IR35. Control: if you control how, when, and where work is done, this suggests outside IR35; if the client controls these aspects, it points inside. Mutuality of obligation: no ongoing obligation to provide or accept work supports outside IR35; continuous obligation suggests inside. These three factors carry the most weight in any determination. Secondary factors like financial risk, equipment provision, and integration into the client's business provide supporting evidence but rarely override the primary factors.
  • 3Status Determination Statements (SDS). Since April 2021, private sector clients with over 50 employees must issue a Status Determination Statement before engagement begins. This written determination states whether the engagement is inside or outside IR35 and explains the reasons. You have the right to dispute the determination through the client's disagreement process. The client must respond within 45 days. If you disagree with the client's determination, gather evidence of your genuine working practices, contract terms, and the reality of your engagement. Professional advice from a specialist accountant strengthens your position in any dispute.
  • 4Planning and Protection. Always assess IR35 status before accepting contracts. Factor the tax impact into your rate negotiations,inside IR35 contracts typically require 25-30% higher day rates to achieve equivalent take-home pay. Review contract terms and working practices regularly; changes in how you work can affect your status. Maintain evidence of your genuinely independent contractor status: separate business premises, multiple clients, professional indemnity insurance, your own equipment, marketing materials, and business development activities. This evidence proves invaluable if your status is ever challenged by HMRC or disputed with a client.
Why it matters

Why check your IR35 status?

Understanding where you stand helps you plan and protect your income.

Tax planning

Know your likely tax position before agreeing contracts. IR35 status can mean a 20–25% difference in take-home pay.

01

Contract review

Identify contract terms that may need adjusting to better reflect your genuine working arrangement.

02

Dispute preparation

If you disagree with a client's determination, understand which factors support your position.

03
Common questions

Frequently asked questions

Keep going

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Need a second opinion?

A professional IR35 review.

Our accountants specialise in contractor tax. Get expert analysis of your contract terms and working practices, plus a defensible status determination if you need it.

Book a 15 min callSee pricing