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Been asked for UTR number - is that self employed?

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    Been asked for UTR number - is that self employed?

    I have been offered a start on Monday morning on a short term assignment of a few weeks. It's a dreck fill-in role, not in IT, but I have bills to pay. The agent gave me the start details, rate, payment schedule (week in lieu) etc. I asked about timesheets and he said we'll get that sorted out on Monday. He closed the call with something about a UTR number.

    Is this some sort of self-employed status then?
    Nothing was stated in the ad about candidates being self-employed, I don't want to work on a self-employed basis.

    Work is too patchy just now to have to put money [I don't have] away for tax at the end of the year, I'd rather know tax and NI are paid by an umbrella and I don't have any surprise tax liabilities come self assessment day.
    I assume self-employed status would also lumber me with unlimited liability if anything went wrong?

    Why would they employ on a self-employed preferred basis?
    What difference would it make to agency or client if I was umbrella c.f self -employed?

    What to do?
    Telephone agent back before starting and hook up with an umbrella company?
    Turn up Monday without UTR and say I would prefer to work through an umbrella?
    Last edited by Aman; 26 November 2010, 13:25.

    #2
    Originally posted by Aman View Post
    I have been offered a start on Monday morning for a short term assignment of a few weeks. It's a dreck fill-in role, not in IT, but I have bills to pay. The agent gave me the start details, rate, payment schhedule (week in lieu) etc. I asked about timesheets and he said we'll get that sorted out on Monday. He closed the call with something about a UTR number.
    UTR = Unique Tax Reference number. Usually associated with people who have to fill in a self assessment tax return for whatever reason e.g. self employed, directorship or other undeclared income waiting to be taxed.

    Originally posted by Aman View Post
    Work is too patchy just now to have to put money (I don't have] away for tax at the end of the year, I'd rather know tax and NI are paid by an umbrella and I don't have any surprise tax liabilities come self assessment day.
    I assume self-employed status would also lumber me with unlimited liabiity if anything went wrong?
    I would have said Umbrella is your best option if you are only doing this for a few weeks. There's no point in burdening yourself with a limited company if it is very short term.

    Being self employed working for the agency isn't going to create problems for you on such a short contract but it may backfire on the agency if you are found to be effectively employed. The amount they pay you is fine and you would simply pay either 20% or 40% tax on it. They, on the other hand, would have to stump up an extra amount to HMRC relating to the tax and NI they should have deducted and paid over to them in the first place. As I say, Umbrella is your best option here.

    Originally posted by Aman View Post
    Whtat difference would it make to agency or client if I was umbrella c.f self -employed?
    None. In fact it would be safer for them from a tax point of view.

    Originally posted by Aman View Post
    What to do
    Telephone agent back before starting and hook up with an umbrella company?
    Turn up Monday without UTR and say I would prefer to work through an umbrella?
    I would advise ringing them back straight away to confirm that you wish to go via an umbrella and talk it through with the agent. He could have just used the wrong terminology!?

    Comment


      #3
      Unique Taxpayer Reference

      You'll have one if you've filled in self assessment previously.

      HMRC consider this to be sensitive information as you need this to access your tax records. I wouldn't be giving this to anyone other than my accountant.

      Turn up - ask them why they want it (probably as some proof of your working status) and point them towards your umbrella for any proof of status they want.
      Si posse, recte, si non, quocumque modo rem

      Comment


        #4
        Thanks.
        I'm in no hurry to go onto self assessment again after receiving a letter from HMRC saying they do not propose to send SA forms to me again unless my circumstances change in which caase I have to notify them. Too much hassle for what I'm earning. Still trying to get my rebates from as far back as 2005-2006 return, after they lost the 05-06 return.

        If I turn up Monday as discussed the worst that can happen is I don't get the gig (which isn't such a good one anyway) and I'll waste an hour finding out. If I'm there already they are more likely to accept the umbrella route.

        Ltd company is dormant, don't even have a bank account since I dared to complain to the bank about their service.
        Last edited by Aman; 26 November 2010, 14:32.

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