Foreign Client Direct

[vwdan]

Sorry for the bone question - personally I'm not particularly worried but thought I should do my due diligence. I have tried to search, but get a lot of stuff about agencies and UK clients.

I've hopefully won a piece of work with a foreign consultancy - truly foreign, no bulltulip, outside of the EU. I'm content it's nowhere near IR35 caught, but obviously they couldn't give a tulip.

There is an end client who is UK based, but let me be clear, this is proper consultancy and not body shopping. They've bid the project, and now they need me to deliver it. I don't believe that end client would come into it even if this was full UK - the consultancy is very much my customer.

What's the deal here? Obviously I've got my own duty to correctly pay tax and, like I say, I've determined it's outside without a doubt

[GhostofTarbera]

Foreign Client Direct

Sounds inside 100% to me


You are delivering a project just like a permie would do?


What’s your question ?


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[vwdan]

Sounds inside 100% to me


You are delivering a project just like a permie would do?


What’s your question ?

Yes, permanent consultants exist. I'm.not one of them, though. You can hire permanent plumbers and builders too, if you want.

Anyway, just curious as to how the reforms come into play here? Can't see how HMRC could touch a foreign entity so I assume liability just comes back to me?

TBH, I don't care that much but it's a long train journey

[jamesbrown]

No, liability is with the foreign client if it's a truly outsourced service, as you say. They will need to issue an SDS and act as Fee Payer, at least in principle and according to the draft legislation. Obviously, it isn't really enforceable. If it's not a fully outsourced service, then the UK entity is both the client and the Fee Payer. The fact that you even know about the UK client (the customer's customer) makes me wonder whether it is outsourced though (there's a little bit of the lady doth protest too much about "let me be clear" ).

[NotAllThere]

Anyway, just curious as to how the reforms come into play here? Can't see how HMRC could touch a foreign entity so I assume liability just comes back to me?

The risk the client needs to consider is: could liability to be found to be with the them?

If the client feels they have no risk - or feel they don't need to check or don't know they should, since you are working, so far as they are concerned, for OffShoreConsultanciesRUs, then fill yer boots. Just try to make sure that the working conditions and contracts don't fall within IR35.