Umbrellas in the firing line next

[Fandango]

**UK teachers paid by offshore firm **
A company employing thousands of public sector workers has avoided paying millions of pounds in employer National Insurance contributions.

BBC News - State school teachers employed by tax-avoiding firm

[centurian]

Mmm... supply teachers committing rampant tax avoidance

Crass hypocracy considering the public sector teaching unions have lambasted tax avoidance. Will they call for supply teachers to be hounded by HMRC in relation to their expenses.

Also, is this a PAYE umbrella, or an offshore scheme

[malvolio]

Mmm... supply teachers committing rampant tax avoidance

Crass hypocracy considering the public sector teaching unions have lambasted tax avoidance. Will they call for supply teachers to be hounded by HMRC in relation to their expenses.

Also, is this a PAYE umbrella, or an offshore scheme

It's a Channe; Islands based one. They are saying that the workers are their employees and the channel Islands don't pay NICs, therefore a UK-tax-resident, UK-earning, UK-working employee doesn't need to pay taxes... Yeah, right. It's the same old argument and is of course entirely legal, since there are no extant laws to stop it.

ALso interesting to note that on a day rate of £160, they are not paying £90 a day in taxes. So much for a 20% tax rate.

This could run and run.

[captainham]

ALso interesting to note that on a day rate of £160, they are not paying £90 a day in taxes. So much for a 20% tax rate.

£90 a week (not per day).

[dogzilla]

ROFL HANG THESE BLOODY TEACHERS. Posh bastards think they can just get away with tax evasion and the common man won't notice?

[malvolio]

£90 a week (not per day).

Picky picky...

[cojak]

Umbrellas in the firing line next

ROFL HANG THESE BLOODY TEACHERS. Posh bastards think they can just get away with tax evasion and the common man won't notice?

Watch your mouth, we are much posher than teachers.

[centurian]

HMRC seem to think very firmly that freelance teachers should be paying NICs. Okay, "pay up" might be their default answer, but the language here is much firmer than for, say, IT contractors.

HM Revenue & Customs: IR35: Countering Avoidance in the Provision of Personal Services - FAQ's

I suppose IT contractors can argue that their PSC is really the first step into becomming the next Gates/Jobs/Zuckerberg. How can a freelance teacher argue they are a business.


But the most galling thing is that teaching unions themselves campaign against tax avoidance

Ipswich NUT: KERCHING! The celebrity guide to tax avoidance
UNITE:NASUWT staff | Organising towards a common purpose

Plus dozen's of other links

[LisaContractorUmbrella]

24,000 contractors and 900 agencies involved apparently Supply teachers caught in offshore tax row: Taxpayers 'lose millions because staff are employed by foreign firms' | Mail Online Can't believe that agencies are 'recommending' this scheme to contractors.

[The Spartan]

It's crazy that they were recommended but given the fact that it means more in your pocket people were bound to sign up to it. Tax is a hot subject at the moment there was article about Apple only paying 2% tax outside the on the weekend.