What is a third party contract, and is it important?
A third party contract is a contract to which you are not a party. For example, if you have a service company and use an agency to find clients for you, then the contract between the agency and your client will be a third party contract.
The way in which you work for your client determines whether or not your contract falls within IR35, so the third party contract (between in this instance the agency and the client) is important, as it details the client's expectations of the worker (i.e. you).
Although, normally, you are unlikely to be a party to the third party contract, you may be able to get a copy from your agency or client simply by asking for it. If you can get hold of a copy, you should include it in any information sent to HMRC when asking for an opinion.
Alternatively, you could ask the agency or the client to provide an abridged version of the contract (leaving out such details as the pay, which the agency might not wish you to see), or else for a written statement by your client detailing the general terms and conditions under which he has engaged you.
If none of these is a practical option, then you should provide relevant
contact details to HMRC, so that the Inspector to whom you have submitted
your contract can try to obtain any necessary additional details about the
way in which you carry out work for your client.
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