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Chancellor goes for Ltd Cos.

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    Chancellor goes for Ltd Cos.

    No, I haven't read that, but I bet I will one day.

    IR35, MSCs, Umbrellas: he wants you on PAYE and he wants you not claiming expenses. If he has to regulate against working via our small Ltd Cos, then he will. It's only a question of when.

    What are you going to do then?

    #2
    Emigrate
    Illegitimus non carborundum est!

    Comment


      #3
      Originally posted by expat
      No, I haven't read that, but I bet I will one day.

      IR35, MSCs, Umbrellas: he wants you on PAYE and he wants you not claiming expenses. If he has to regulate against working via our small Ltd Cos, then he will. It's only a question of when.

      What are you going to do then?
      Carry on agency PAYE.

      I get 'paid' twice as much as contractor than as a perm. ISTM that the Tax benefit of running a company is just noise. Not having it doesn't make it unprofitable to contract (as more than one person coming to this board has claimed).

      tim

      Comment


        #4
        Originally posted by expat
        What are you going to do then?
        Vote 'Anyone but brown'. Get the socialist bstard out
        "Experience hath shewn, that even under the best forms of government those entrusted with power have, in time, and by slow operations, perverted it into tyranny. "


        Thomas Jefferson

        Comment


          #5
          Originally posted by tim123
          Carry on agency PAYE.

          I get 'paid' twice as much as contractor than as a perm. ISTM that the Tax benefit of running a company is just noise. Not having it doesn't make it unprofitable to contract (as more than one person coming to this board has claimed).

          tim
          I (almost) entirely agree. I do not attempt to "avoid" tax that I think it is wrong to avoid: therefore I do not pay myself dividends, at all.

          Where I do have a problem, though, is with expenses. I don't claim dodgy expenses (like a new DVD player, or any of that stuff; or anything that I haven't actually spent); but I do hold that travel and subsistence is a reasonable expense because it is an integral part of what I do.

          "What I do" is not just the contract that I have at the moment, my career is a string of contracts. I can not move house to be near my work, when every 3 months it may be in a different country. But I rather think that that is what would be expected, without the modus operandi of a Ltd Co.

          I do think that prudent Gordon will look at that, and move to stop not only dividends but also expenses. Look at what he said about MSCs:

          Income received by workers in MSCs in relation to services provided through the MSC will be subject to employed levels of tax and NICs, with the MSC obliged to operate Pay As You Earn (PAYE) and deduct tax and Class 1 NICs on that income - and the rules for tax relief for travel expenses will be the same as for other employed workers.
          That is language that could easily be applied to small Ltd Cos.
          Last edited by expat; 20 December 2006, 10:08.

          Comment


            #6
            Originally posted by expat
            No, I haven't read that, but I bet I will one day.

            IR35, MSCs, Umbrellas: he wants you on PAYE and he wants you not claiming expenses. If he has to regulate against working via our small Ltd Cos, then he will. It's only a question of when.

            What are you going to do then?
            Go PAYE thru the agency then claim holiday pay, sick pay, pension etc etc.

            Comment


              #7
              a) Retire
              b) Die
              bloggoth

              If everything isn't black and white, I say, 'Why the hell not?'
              John Wayne (My guru, not to be confused with my beloved prophet Jeremy Clarkson)

              Comment


                #8
                Go PAYE through the Agency and increase my rates to compensate for the loss of income!!!!!!

                Comment


                  #9
                  If the ability to earn a reasonable amount of money in the uk via contracting vanishes due to excessive taxation then I will very probably emigrate. Working in a tax efficient way is the only way to have a reasonable standard of living in the uk, I don't mean champagne and caviar and porsches, I mean just a reasonable standard of living. You earn less elsewhere but the cost of living is low without the miserable faces, crime, overcrowding and chavs to put up with. If Gordon tightens the screws any more it will just not be worthwhile hanging around.

                  Comment


                    #10
                    Originally posted by shoes
                    If the ability to earn a reasonable amount of money in the uk via contracting vanishes due to excessive taxation then I will very probably emigrate. Working in a tax efficient way is the only way to have a reasonable standard of living in the uk, I don't mean champagne and caviar and porsches, I mean just a reasonable standard of living. You earn less elsewhere but the cost of living is low without the miserable faces, crime, overcrowding and chavs to put up with. If Gordon tightens the screws any more it will just not be worthwhile hanging around.
                    I for one may be joining you in that!

                    Comment

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