I run a successful business and want to contract

[Shek]

Hi
Not to sure how this would work with regards to IR35 so I was wondering if anyone could help me.

I already own a company which already runs a successful business (nothing to do with IT). I am an IT analyst and have managed to get myself a contract for 6 months possibly longer.... So if I already run my own business and want to start contracting as well how does this place me in relation to IR35? (i.e. I will be working with one company at their site, as I guess you could say as a disguised employee but my company does more than provide only a vehicle for this contract.)

Your advice would be much appreciated

[DaveB]

Start a new ltd, perfectly legally, and run your contract work through that. Much easier to manage and keep track of than trying to put it all through the books of your current co.

As has been said many time, usually by Malvolio, IR35 is pretty much voluntary these days. Run it as a separate co. and ensure that the contract is properly put together and you should be fine. Plenty of threads on here on how to go about it.

Checklist

1) Get a decently worded contract and have it checked out by a professional.

2) Join the PCG and get some IR35 investigation insurance

3) Ch-Ching. £££

4) Relax and sleep at night.

[oraclesmith]

A word of warning - watch the VAT situation. Your companies may end up being grouped together for VAT purposes, which is fine if they are both B2B, but not OK if one of them is B2C and not VAT registered.

[Langkawi]

As has been said many time, usually by Malvolio, IR35 is pretty much voluntary these days.

Huh?

If IR35 is voluntary then surely I can opt out to skip the expense of all that Income tax/NI and not bother with the expenditure on IR35 insurance either. Happy days.

If hector comes calling I'll just tell him its fine as I opted out.

Care to elaborate DaveB?

[malvolio]

The conditions that make an engagement clearly IR35 caught are so well understood by all parties that there are a small number of positions where a contractor would definitely need to pay IR35. Certianly anyone supplying professional serivces to a cllient would be able to argue (perhaps with expert help) that IR35 does not apply. So IMHO most of the people paying IR35 are doing so for no real reason other than an unwillingness to understand why they shouldn't.

[Shek]

Thanks for the info - so I am assuming that this would clearly mean that I am placed outside of IR35 as I do more than just a disguised employee of one company.....

DaveB pls elaborate on your point below regarding IR35 being voluntary?

[malvolio]

Thanks for the info - so I am assuming that this would clearly mean that I am placed outside of IR35 as I do more than just a disguised employee of one company.....

DaveB pls elaborate on your point below regarding IR35 being voluntary?

No, I'm saying you need to make sure that is the case by ensuring your working relaitionships and contractual terms put you outside IR35, mainly by reference to RoS, MOO and D&C. People have been caught for IR35 despite having multiple, concurrent contracts with several clients. Also, my comment was meant as an answer to DaveB's post.