Rishi Sunak, the new chancellor of the exchequer, has promised that enforcement by the HMRC is “not going to be at all heavy-handed,” for the first year of IR35’s implementation.

From 6 April 2020, IR35 reforms will be extended to medium and large organisations in the private and third sectors, which will then be responsible for determining the tax status of its contractors.

Speaking at an event in Birmingham over the weekend, Sunak sought to reassure business that the reforms would not be heavy-handed.

“I’ve spent time with HMRC to ensure they are not going to be at all heavy handed for the first year to give people time to adjust as well which I think is an appropriate and fair thing to do,” Sunak said.

Sunak added that the review into the implementation of the policy “will have some tweaks and improvements to make sure that the transition is as seamless as possible.” He also added that “nothing has changed in the law.”

In January 2020 the government announced a review of changes to IR35 with the aim of addressing growing concerns from businesses and affected individuals about how the rules will be implemented.

Earlier this month the government announced changes so that IR35 rules apply only to services performed after the implementation date.

Later today, the House of Lords’ Economic Affairs Finance Bill Sub-Committee will start to hear evidence as part of its inquiry into IR35. The hearing can be watched live from 3.15pm onwards (UK time) at parliamentlive.tv.