A new website is being launched this Monday, 21 January, which will offer contractors some very useful services like advice on IR35 and referrals for new bank accounts and for other service providers like accountants.
And It's All Free!
And it's all free to contractors when their agencies sign up for the website which is called ''Professional Passport.''
It's likely that agencies will want to sign up for these services, as the cost for agencies is quite low. But the site offers agencies something they probably can't refuse--a list of service providers for contractors who have been vetted so that we can be quite certain they are not managed service company providers.
Totally Independent
What is refreshing about Professional Passport is that it is totally independent. You can be certain that the companies listed on Professional Passport have been properly reviewed, because, should they not be compliant, Professional Passport could be held liable for contractor tax debt. So the site is not likely to take any chances with the companies it refers you to.
Says Julia Delany, Professional Passport managing director: ''Our independence is essential. Everyone we deal with needs to be sure that we are presenting the information without any hidden agendas or incentives. ''
Professional Passport is totally independent which means that the information we provide is as objective as possible
Julia Delany-Professional Passport
A Way To Avoid MSCs
You, as a contractor, want to stay clear of managed service companies because the legislation enacted last year will make you liable for a lot of extra tax if you are found to be using one. Agencies want to stay clear of managed service company providers because they can be held liable for contractor tax debt if they are found to be involved with one.
Safe For Us All
So Professional Passport offers agencies a chance to refer their contractors to safe, compliant service providers, which is important so that agencies don't have to worry about what their contractors are up to with their limited companies. And contractors can be sure of remaining compliant for tax and administrative regulations as well. Contractors will be able to use an IR35 and managed service company automated review facility on Professional Passport to review both their contracts for independent status, and to make sure their providers, who may not be on the Professional Passport list, aren't managed service companies.
Professional Passport is also currently working on applying its 'audit standards' and assessing a number of umbrella, company formation and contract review firms.
Our image in contracting has been tarnished by the various attacks on it but here we can show that we are reputable and reliable
Crawford Temple-Professional Passport
“Every Provider on the market today makes claims of complete compliance, and this, as everyone knows, is not always the case,'' Crawford Temple, Professional Passport CEO comments. ''But this is a chance for the entire industry to pull together and to offer a positive, solid image. Our image in contracting has been tarnished by the various attacks on it; here we can show that we are reputable and reliable.''
While the managed service company legislation was the initial trigger for developing Professional Passport, the site intends to offer a slew of other services, starting with specialised banking services for contractors. The plan is to have some of the major banks in the UK pull together a special offer in which contractors will be able to get both business and personal accounts. These will be linked together by a single online service. Temple is working to make this a reality in the near future.
For now, the priority for Professional Passport is to bring in as many agencies as possible. If you'd like to use the site, you can also pay a small fee for its services. But it's easier and cheaper for you to ask your agency to sign up; then you get it all for free while you are under contract with that agency.