Big Truck:
You need to read the article in Truckstop News issue 335 13th June.
BIG article on SE/Ltd drivers working for haulage companies driving THEIR trucks.
“Loophole” is closing and HMRC are coming and BIG tax bills back dated a few yrs are coming too!!!
“Public enquiry” On going and HMRC will have their pound of flesh as it’s NOT your decision if your SE/Ltd company driving another man’s truck,
your simply a PAYE employee!!!
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Tosh!
So your saying the article in Truckstop News is a load of lies then!!!
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The rules at the moment allow this and are written into law. HMRC are NOT able to change the law, neither can they backdate laws IF they are changed in the future. There’s been discussion about similar issues for some time - however simply changing the law will have a huge knock-on effect that will seriously damage a wide range of businesses.
As for the truth or accuracy of an article… irrelevant what publishers pint… they are at liberty to report as they see fit. FWIW… Tosh… not the same as liars - is it?
The Govt can easily change the law in favour of HMRC any time they want and can easily backdate the claims HMRC are allowed to make, I know you like to think you are cleverer than most on here but it ain’t coming across that way.
Big Truck:
You need to read the article in Truckstop News issue 335 13th June.
BIG article on SE/Ltd drivers working for haulage companies driving THEIR trucks.
“Loophole” is closing and HMRC are coming and BIG tax bills back dated a few yrs are coming too!!!
“Public enquiry” On going and HMRC will have their pound of flesh as it’s NOT your decision if your SE/Ltd company driving another man’s truck,
your simply a PAYE employee!!!
Sent from my SM-J500FN using Tapatalk
Tosh!
So your saying the article in Truckstop News is a load of lies then!!!
Sent from my SM-J500FN using Tapatalk
The rules at the moment allow this and are written into law. HMRC are NOT able to change the law, neither can they backdate laws IF they are changed in the future. There’s been discussion about similar issues for some time - however simply changing the law will have a huge knock-on effect that will seriously damage a wide range of businesses.
As for the truth or accuracy of an article… irrelevant what publishers pint… they are at liberty to report as they see fit. FWIW… Tosh… not the same as liars - is it?
Where has anybody said that HMRC are “changing the law”■■?
They are simply pointing out that any individual tax payer cannot simply decide they are SE/Ltd and then in turn drive another person’s truck and invoice them for it.
AGAIN it has always been the case but has gone “under the radar” for too long plus too many drivers/Hauliers have jumped on that particular wagon and now HMRC are doing something about it!!![emoji52]
Somebody has mentioned on Trucknet before that there are Hauliers whose drivers are 100% either SE or Ltd and you think this would be acceptable by HMRC!!!
Is the issue here not just the “employer” evading their responsibilities ie. costing them less to have a driver but that the driver is sold short.
I’d be fairly sure the OP will not receive a rate to allow him to cover holiday pay/illness/pension contributions etc to the level he would have got as PAYE.
I may be wrong and he’s invoicing at £20ph!
del trotter:
The Govt can easily change the law in favour of HMRC any time they want and can easily backdate the claims HMRC are allowed to make, I know you like to think you are cleverer than most on here but it ain’t coming across that way.
It’s not a case of changing the regulations in favour of HMRC, HMRC are supposed to be non-political and merely follow the regulations as they are. They do not have a side which can be favoured.
On the rest, you are wrong there too. But I’m too busy and on the personal insult… that’s just immature bs! Get a grip.
Hello,
Maybe l missed the answer amongst all the other guff? But you may find keeping your PDP card in order will be a bigger problem than the tax man.
I recently sat my ADR refresher at Altrain in E/port,2 lads on the course we’re looking at freelance pet reg work but struggling with the PDP, It seems the loading is the issue,access into terminals/depots is very difficult without an employee induction.Our instructor said they can turn up to 10 drivers a month away from the PDP course due to not being to complete the practical side of it,ie loading and delivering the fuel.
Make sure you are on the companies training schedule or it may become difficult come renewal time.
Also good luck with your venture.
mx51uzs:
Hello,
Maybe l missed the answer amongst all the other guff? But you may find keeping your PDP card in order will be a bigger problem than the tax man.
I recently sat my ADR refresher at Altrain in E/port,2 lads on the course we’re looking at freelance pet reg work but struggling with the PDP, It seems the loading is the issue,access into terminals/depots is very difficult without an employee induction.Our instructor said they can turn up to 10 drivers a month away from the PDP course due to not being to complete the practical side of it,ie loading and delivering the fuel.
Make sure you are on the companies training schedule or it may become difficult come renewal time.
Also good luck with your venture.
Iv been made to believe I’ll be getting inducted on the terminals before training starts.
Trucker-Millward:
What’s the best thing to do then? He doesn’t want to take me on because of offering a pension because of the new law.
Run away. Being self employed there is no right to paid holiday pay or even a right to be paid at all and if the cost of 1% of your wages is too much for him to pay, a paltry few hundred quid a year, because of the workplace pension expect to get paid late and expect invoices not to get paid at all.
Trucker-Millward:
Thanks for all the advice and suggestions so far. I’m not going to think to far ahead.
I’m going to take it step by step and.
Thanks
It looks like you have decided to go ahead despite contrary advice mate, and that’s fair enough imo, horses for courses and all that. I will however add a cautionary note; where I now work full time used to have a policy of only using through an agency “self employed” drivers, there were about 60 of us many of whom had been at the same place every day of the week for over 10 years. When the tax man finally caught up with me my own personal tax bill was a tad over £15k, many others had £20K+ bills land on their doorsteps.
Trucker-Millward:
Thanks for all the advice and suggestions so far. I’m not going to think to far ahead.
I’m going to take it step by step and.
Thanks
It looks like you have decided to go ahead despite contrary advice mate, and that’s fair enough imo, horses for courses and all that. I will however add a cautionary note; where I now work full time used to have a policy of only using through an agency “self employed” drivers, there were about 60 of us many of whom had been at the same place every day of the week for over 10 years. When the tax man finally caught up with me my own personal tax bill was a tad over £15k, many others had £20K+ bills land on their doorsteps.
Be careful.
Think his mind was made up well before he started the thread.
Trucker-Millward:
Thanks for all the advice and suggestions so far. I’m not going to think to far ahead.
I’m going to take it step by step and.
Thanks
It looks like you have decided to go ahead despite contrary advice mate, and that’s fair enough imo, horses for courses and all that. I will however add a cautionary note; where I now work full time used to have a policy of only using through an agency “self employed” drivers, there were about 60 of us many of whom had been at the same place every day of the week for over 10 years. When the tax man finally caught up with me my own personal tax bill was a tad over £15k, many others had £20K+ bills land on their doorsteps.
Imo I don’t think some people on this topic understand how hard it is to get yourself in the door as a petrol tanker driver. Iv been trying a few years. This could be a golden opportunity for me. I will definitely not be turning it down. I just want to make sure I do everything correctly and within the law. Everyone’s had there say and iv seen some very good points to take away from this thread and made me realise, I need to ask some certain questions.
I don’t want to go self employed but if that’s what I have to do to get myself in there and can do correctky and lawfully then I’ll do it. I don’t plan on staying self employed long. Hopefully all goes to plan and they can offer me full time job with all the perks etc when everything picks up.
Once again, thanks for everyone’s input. It’s been an eye opener
One more tip if I may; obviously you’re going to get yourself an accountant, so they’ll let you know what to pay re your tax and NI obligations, but I’d heartily recommend that you take as a minimum 20% of your gross and stick into a high interest account each time you get paid. That way when the tax man inevitably catches up with you (which he will) you’ll at least be able to pay him from that account. It may take a year, Hell it may take 5 years to catch up with you but he’ll want his pound of flesh.
Look on the bright side too, if in ten years you’ve somehow evaded his scrutiny you’ll have a fantastic nest egg squirrelled away to play with.
Anyone who suddenly receives a large tax bill after being “caught up with” by HMRC, must have been producing some incorrect tax returns / self assessments.
The only other time I have previously come across such is when the person was using an umbrella scheme that had failed to pay the taxes deducted.
That is why I advised you to A. Declare all of your earnings and B. Consult a Chartered Accountant - being Chartered is all important here.
As a self employed person you will have to pay tax - just as you would if you were employed… just a different method.
There are some minor expenses benefits such as being able to claim mileage allowances, but these too are limited and must not include your travel to and from your base of work.
You can also write off other items you need to do your work against profits.
It is very sound advice to have another account, to set aside money for taxes etc… you’ll get next to SFA in interest at the mo though.
When you speak to your accountant, they will most likely tell you there’s a good chance HMRC, say this is not permitted because as others have said - in reality you will be working full time for the same firm.
But in reality, you only have to pay your taxes once and provided you set it aside and have good records you personally will NOT be sought, or caught up with by HMRC.
Your Accountant will no doubt tell you there is actually nothing to prevent you doing it… just as has been stated. Be careful… HMRC will want what is owed…
The most dubious part of all of this is a bit weird. The guy who owns the truck can write off any proper PAYE against his profits… the fact he is dictating you be self employed is strange maths.
Yet another reason to be careful.
Trucker-Millward:
I just want to make sure I do everything correctly and within the law.
Summing up the responses you’ve received, what you propose to do is not apparently “correct” or “within the law” at all!
It seems to me what you’re doing is taking a calculated risk, on the basis that even if you later have to pay the tax and/or a penalty, it remains worthwhile to participate in this scheme.
Personally, if you are just looking for the PDP, I don’t know why you don’t just ask for your employment to be normalised immediately afterwards, excusing yourself on the basis that you’ve got cold feet about continuing with the fiddle. And if the employer refuses, then get a job elsewhere, PDP in hand!
Andrew.simmons:
Be prepared to be [zb] over in the future. Self Employed drivers are being cracked down on because they and their employer are breaking the law.
If you dont own your own truck or hold your own operators licence, as far as Im concerned you are NOT self employed as you are using employer equipment, employer operating licence and I bet you wont be paying for your own diesel.
It is a huge fiddle propogated by agencies and scumbag hauliers who dont want to pay holiday, sick pay, NI, tax and employment rights.
More fool you mate. It will bite you in the arse as you have zero commitments from any company. They can drop you in a heartbeat.
That’s only as far as YOUR concerned yes it is getting harder and margins are tighter. But it not all as black and white and is portrayed by the arm chair lawyers on here if you want proper advice go see an independent financial advisor or an accountant