Can agency nurses still work via a limited company?
In order to work as a limited company, an agency nurse must be deemed by the healthcare organisation to be filling a role which is outside the remit of IR35 (off-payroll working).
The IR35 rules make sure that an agency nurse pays broadly the same Income Tax and National Insurance as an employee would.
The rules apply if the worker who provides services to a client through their own intermediary would have been an employee if they were providing their services directly to that client.
The end client – i.e. the hospital – is responsible for deeming a role inside or outside IR35. In most cases, Band 5 nursing and theatre roles are deemed inside IR35 and therefore cannot be paid via limited company.
To be outside of IR35, the worker must be providing a service that is not available from existing employees. This is rarely, if ever, the case with a nurse.
You can read more information here: https://www.gov.uk/guidance/understanding-off-payroll-working-ir35
Novello Knows is our weekly series of articles where we answer the most common questions asked by Nurses and ODPs.
If you have a question you’d like answered, feel free to email us at firstname.lastname@example.org