The Conservative Party has made a commitment to undertake a comprehensive reform of existing IR35 legislation, IT contractors may be interested to learn.

In a letter to PCG chairman Chris Bryce, shadow business minister Mark Prisk indicated that the Tories would push for a review of small business tax matters "including IR35".

The letter added: "We want to deal with this problem comprehensively, in a way which provides us all with a lasting solution, not a short term fix."

Mr Bryce added that the PCG would continue to push for major reforms, including the removal of IR35, which it believes is a "grossly unfair and badly drafted piece of legislation" for contractors.

In January, PCG expressed concern about the High Court ruling which could enable HM Revenue and Customs (HMRC) to impose retrospective taxes on IT contractors and other freelance employees.

The case concerned self-employed IT consultant Robert Huitson, who had challenged HMRC's right to levy taxes retrospectively.