Yeeessss!! Let the fun begin.

[Old Greg]

Right - something like that would work here too. Better if it's open to employees, but eek is right that no tax breaks would render many contracts economically unviable. #prayfortarbie

I do get all the other tax deductible stuff. And good mileage and subsistence rates when I travel to a different client sites. The tax rate is the killer, although.married people can get taxed as a single unit (more or less).

But big picture: taxed the same as a sole trader is the answer. I wonder if there's scope for a resurgence in sole traders for IT contractors.

[Amanensia]

Right, but making the end client responsible is still deckchairs on the titanic. Taxing dividends on proprietor/owners at the income tax rate is a proper solution.

That would be nice. Currently dividends are taxed at 7.5% more than income. Or do you mean taxed as income AND as corporation profits?

[Old Greg]

That would be nice. Currently dividends are taxed at 7.5% more than income. Or do you mean taxed as income AND as corporation profits?

That is the case in Ireland so nobody uses divis. They use the 5% class of NIC equivalent instead of Employers plus Employees NIC.

[jamesbrown]

But big picture: taxed the same as a sole trader is the answer. I wonder if there's scope for a resurgence in sole traders for IT contractors.

I think there are too many legislative and risk factors that work against that for now. That applies to all parties in the chain and agencies cannot engage this way. If it were viable, many contractors would take that route now. I like the idea of limited liability/company protection but taxation of the proprietor as self-employed. Makes a lot of sense.

[Old Greg]

I think there are too many legislative and risk factors that work against that for now. That applies to all parties in the chain and agencies cannot engage this way. If it were viable, many contractors would take that route now. I like the idea of limited liability/company protection but taxation of the proprietor as self-employed. Makes a lot of sense.

I think that bird has flown.

[Whorty]

It’s pretty obvious. No pressure from the Brexit Party, UKIP etc. No internal pressure from the ERG. Boris is a serial liar. A softer Brexit is easier to achieve and gives him more money to spend on garden bridges. All those things do not add up to a hard Brexit.

As a remainer, and knowing there was never going to be a revoking of A50, ironically Boris getting such a large majority is a better outcome for us than a small majority. The other irony of this, is those 'oop north' who voted in Boris to get their Farage style Brexit, are more likely to get shafted now

Still time for

[jamesbrown]

That would be nice. Currently dividends are taxed at 7.5% more than income. Or do you mean taxed as income AND as corporation profits?

No, dividends are taxed at a lower marginal rate than income, currently. I mean taxing as income, which means taxing at the marginal income tax rates, which means that income is not corporate profit, which means no CT on that money paid to employees. But it means your taxes would increase and IR35 would be moot.

[jamesbrown]

I think that bird has flown.

Sadly, yes. Chaos is probably baked in now.

[jamesbrown]

As a remainer, and knowing there was never going to be a revoking of A50, ironically Boris getting such a large majority is a better outcome for us than a small majority. The other irony of this, is those 'oop north' who voted in Boris to get their Farage style Brexit, are more likely to get shafted now

Still time for

Depends what you mean by shafted. There will be a soft Brexit and more spending on infrastructure and public services in the midlands and North. But, yes, there won’t be a hard Brexit. TBH, I think it’s only a minority that really care about the type of Brexit.

[eek]

Depends what you mean by shafted. There will be a soft Brexit and more spending on infrastructure and public services in the midlands and North. But, yes, there won’t be a hard Brexit. TBH, I think it’s only a minority that really care about the type of Brexit.

To be honest most people want to hear we have left the EU and then provided it doesn't impact going on holiday too much that will be the end of it.