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Dave Plowman
 
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Default New Electrical Regs - Again

In article ,
PoP wrote:
You may not have heard of IR35, which initially targetted IT
consultants but in this years budget was extended to cover nannies,
butlers, gardeners, anyone who was offering personal service via a
Limited company.


IIRC, this is because they are deriving their income from only one source
- ie acting like an employee.

If IR35 applies (and the Inland Revenue will always claim it does
despite their rhetoric) then 95% of company income MUST be treated as
personal salary - you can do what you like with the other 5%, like pay
your accountant and so on.


Perhaps it's the system that allows employers to treat what is staff in
all but name as self employed. A truly self employed person will have
several different sources of income. If a firm chooses to employ him on
what amounts to a permanent basis - these days - they should be forced to
pay the usual employer contributions and have the same responsibilities.
Otherwise the taxpayer in general is subsidising that firm.

--
*Why isn't there mouse-flavoured cat food?

Dave Plowman London SW 12
RIP Acorn