IR35 “Off Payroll” Service Provider Procurement Workflow Follow these steps: NOTE: EXTERNAL LINKS ONLY FUNCTION IN “SLIDE SHOW/PRESENTATION” MODE Does your service requirement consist of, or include, the provision of personal services by one or more workers who could be supplied via a personal service company supplier? If so, the “off payroll” IR35 tax rules may apply* Must contact the Procurement Office before proceeding. This threshold triggers a formal procurement that will be managed by the procurement office, who will assist you to incorporate any IR35 requirements, if applicable. See timescale and process chart for rough timescales. Under £50K (excl. VAT)? £50K or over (excl. VAT)? Obtain and complete the Payroll Form Employment Status Questionnaire - Future Engagement Form and submit to the Payroll Office [finpay@ed.ac.uk]. Wait for payroll team to assess whether IR35 will apply to your role.** Obtain 3 quotes using alternative IR35 Invitation to Quote/3 Quotes templates, available here. Bidders will complete a one page form to confirm whether intermediary status applies (appendix 3) and, if it does, will also complete an amended price schedule that auto-calculates likely tax commitments (appendix 2). Bidders will be required to submit their price offer as a daily labour rate, along with the estimated total number of days involved in the service provision. If you have questions on the use of this template or IR35 procurement, please contact Stuart.mclean@ed.ac.uk Keep relevant documentation locally. Follow local procedures to raise a purchase order for non-IR35 service providers. For IR35 service providers, contact the Payroll Office prior to informing winning bidder to set up payment for selected service provider and, in some cases, to conduct a further intermediary status check on Companies House. IF NOT caught by IR35 IF CAUGHT by IR35 Obtain 3 quotes from service providers for your requirement following the University’s “How to Buy Guide”, including the general Invitation to quote/3 Quote templates for goods and services. Select winning quote and record purchase justification. *See the University website for info about IR35 “off-payroll” tax rules and when they may apply, which also includes guidance for engaging consultancy services. See the “How to Buy Guide” for University purchasing procedures. Buyers should check to see if an internal service provider or current contracted supplier can meet their need before engaging in procurement activity. Obtaining quotes prior to purchasing below £50,000 fulfils the University’s legal duties and helps obtain value for money, defined as an “informed balance of cost, quality and sustainability” considerations. **If you are currently engaging a service provider who may fall in the scope of these rules, please contact the Payroll Office and complete the Employment Status Questionnaire – Current Engagement Form