Client wants to put me on time sheet - I'm now a LTD company + VAT...

[Bennage]

Hi All,
First post here, so go easy...


I have worked in the events industry for some time now. In the past couple of months, I've made the push to do all my business through a new limited company (VAT registered and everything).

However, I have a client who I have only done 2 jobs for previously who now insist on having their staff fill in a time sheet for every job and be paid PAYE.

I am keen to put all my income through my new company, if only to keep things more organised and under control when it comes to my self assessment.

Can anyone give me some other reasons to give to this client why they should see the error of their ways and just let me charge a day rate (like colleagues of mine used to do with them for many years)?

What are the pros and cons for each party in each situation?

TIA.

[Swamp Thing]

There’s a lot of info we don’t have here. For example:

- has the client appointed a new recruitment provider (possibly an outsourced MSP) who has advised putting all temps/contractors on PAYE?
- if Yes, is this because they are taking a cautious view of HR developments such as the Agency Workers Directive?
- in which case, has the client misunderstood/not differentiated between modestly paid PAYE temps (e.g. up to £12 p.h.) vs specialised/qualified freelancers?
- does the client mean you will be payrolled by their provider or that they want you to be responsible for payrolling through your own company?
- is it client line management insisting on this, or group policy?

At the end of the day, clients can change the rules and you have to accept them (including making the decision about whether to operate in or out of IR35), or give the gig a miss.

Give us some more info..

[istvan]

There’s a lot of info we don’t have here. For example:

- has the client appointed a new recruitment provider (possibly an outsourced MSP) who has advised putting all temps/contractors on PAYE?
- if Yes, is this because they are taking a cautious view of HR developments such as the Agency Workers Directive?
- in which case, has the client misunderstood/not differentiated between modestly paid PAYE temps (e.g. up to £12 p.h.) vs specialised/qualified freelancers?
- does the client mean you will be payrolled by their provider or that they want you to be responsible for payrolling through your own company?
- is it client line management insisting on this, or group policy?

At the end of the day, clients can change the rules and you have to accept them (including making the decision about whether to operate in or out of IR35), or give the gig a miss.

Give us some more info..

bad news being outside IR35...