Morning chaps,
Once I get my 6 months essential experience for the agency that I intend to work for, I wish to become another agency ■■■■■.
However, I have been told that with IR35 coming into effect from April it might not be worth it anymore.
Is there anything serious to be concerned about?
PS: I’m not interested in how I’m better off on PAYE etc.
Have a great day.
pedrosa666:
Morning chaps,Once I get my 6 months essential experience for the agency that I intend to work for, I wish to become another agency ■■■■■.
However, I have been told that with IR35 coming into effect from April it might not be worth it anymore.
Is there anything serious to be concerned about?
PS: I’m not interested in how I’m better off on PAYE etc.
Have a great day.
You’d be better off on PAYE.
pedrosa666:
PS: I’m not interested in how I’m better off on PAYE etc.
Why…
Would you not be interested in being better off?
The whole point of the job is to earn as much crust as possible.
Secure a decent hourly rate - and of COURSE you’re gonna be better off on PAYE.
…12.07% of your gross pay - paid into a holiday pot. That’s around £1.50ph extra, which is better than the £1ph extra you supposedly get for being self-employed, at the cost of holiday pay at very least…
If you’re a prudent spender on expenses, buying stuff that is tough to get receipts for - then what can you really claim for on Self-Employed IR35 anyway these days??
Classic post !
Ask a question and specify which answers you want.
Is there anything to worry about in the newer IR35 rules?
It depends on whether or not you will genuinely qualify:
Try using this tool-
tax.service.gov.uk/check-em … disclaimer
Be honest, and see what it tells you.
If you qualify, fine.
If you dont qualify, dont worry…
Winseer:
you’re gonna be better off on PAYE
yourhavingalarf:
Why…
Would you not be interested in being better off?
Nite Owl:
You’d be better off on PAYE
pedrosa666:
Once I get my 6 months essential experience for the agency that I intend to work for, I wish to become another agency ■■■■■.
There’s nowt as queer as folk! 
I didn’t even know that whoring came under the lists of professions done by agencies 
Anyway, full mark’s for admitting it on a forum, and good luck with it mate.
What’s your speciality btw?
Does it also cover gardening , or is it a two for one offer thing… you mention hoes.?
A strange combination, but each to his own.
Of course with only days to go to the general election, the parasite politicians for the main parties are now between them either planning on scrapping or watering down the changes planned for IR35 in the private sector. Don’t forget there are 5 million self employed out there. Up until now the ones falling inside IR35 have been classed as tax avoiders for not paying the correct amount of tax/ni. Then when parties could lose massive support those affected may find they are not tax avoiders. Is there any wonder why HMRC don’t know their arses from their elbows.
Whoever gets into power and whatever they do with IR35, the lot of them should get their heads around this.
Tax Avoidance is totally legal
Tax Evasion is totally illegal
The moral question to Tax Avoidance is totally down to differing interpretations.
IR35 has been in effect for years, but HMRC are trying to get more people paying more tax so they are tightening upon people claiming to be “self employed” and not being paid PAYE.
A big change is that employers will become liable for determining whether you are in or out of IR35. If they decide you should be in it (ie PAYE), the company can get a tax bill, in this case the agency.
A number of large companies have dropped contractors or forced them to be PAYE in several sectors such as banks dealing with IT contractors. If they cant be sure those people are legit considering their large legal depts, do you really think a tiny agency will want to take the chance.
You can be legit self employed still but working for a single agency won’t cut it.
I believe a big factor is the question of substitution. Can you provide someone else (in theory) to do the job you are contracted to do? If not they usually say you are not true self employed. That’s apparently one part the IR35 calculator isn’t getting right currently but its being heavily used by HMRC in their actions.
Bottom line - in theory you can do it, but be prepared to leave the country if it goes belly up or pay large amounts to HMRC.
pedrosa666:
Morning chaps,Once I get my 6 months essential experience for the agency that I intend to work for, I wish to become another agency ■■■■■.
However, I have been told that with IR35 coming into effect from April it might not be worth it anymore.
Is there anything serious to be concerned about?
.
It’s not a case of being worth it, it is a case of whether you’re legally allowed to or not. At the moment there are a lot of agency drivers working as self employed illegally and getting away with it because HMRC turned a blind eye. What many are doing is disguised employment, they work just the same as those on PAYE are, don’t meet the criteria for being self employed but are paid as self employed with the agency saving money on employers NI amongst other things. HMRC have come out and said that as far as they’re concerned unless you own the wagon you can’t qualify for self employed as a driver.
Some agencies have already started restricting self employment and some stopping it altogether. In IT contracting there’s a ■■■■■■■■ of companies telling contractors its either PAYE on fixed term contract or no more work.
Ultimately it comes down to whether you’ll fall within IR35 or not. If you do then HMRC could decide down the line to send you a nice big fat tax bill and they can backdate that to include the previous 6 years as well.
It is absolutely something serious to be concerned about. Ask IT contractors who are the sector biggest affected by it, they’re ■■■■■■■■ themselves over it.
And the online CEST tool which is provided by HMRC to determine ones employment status is to be updated and radically changed for the upcoming IR35 changes, thing is it wasn’t fit for purpose to start with so God knows what the new version will be like. HMRC use the CEST results to determine a person’s employment status and on many occasions HMRC loose their cases at Tax Tribunals. One of the many many problems with HMRC is that it itself cannot understand the IR35 legislation.
Wouldn’t it be a wonderful world if it was Conor’s black and white world, and since when has it been illegal to set up as self employed when technically not self employed?
Conor:
pedrosa666:
Morning chaps,Once I get my 6 months essential experience for the agency that I intend to work for, I wish to become another agency ■■■■■.
However, I have been told that with IR35 coming into effect from April it might not be worth it anymore.
Is there anything serious to be concerned about?
.It’s not a case of being worth it, it is a case of whether you’re legally allowed to or not. At the moment there are a lot of agency drivers working as self employed illegally and getting away with it because HMRC turned a blind eye. What many are doing is disguised employment, they work just the same as those on PAYE are, don’t meet the criteria for being self employed but are paid as self employed with the agency saving money on employers NI amongst other things. HMRC have come out and said that as far as they’re concerned unless you own the wagon you can’t qualify for self employed as a driver.
Some agencies have already started restricting self employment and some stopping it altogether. In IT contracting there’s a [zb] of companies telling contractors its either PAYE on fixed term contract or no more work.
Ultimately it comes down to whether you’ll fall within IR35 or not. If you do then HMRC could decide down the line to send you a nice big fat tax bill and they can backdate that to include the previous 6 years as well.
It is absolutely something serious to be concerned about. Ask IT contractors who are the sector biggest affected by it, they’re [zb] themselves over it.
Ill stand correction on this, but, An employment agency being a limited liability company can go belly up, and the directors walk away if presented with a big tax bill. An individual.....you...cannot walk away from your personal tax liability. Given the different outcomes dont take advice from an agency who says “itll be ok, dont worry”.
Well if you are in scope, it would be something to worry about.
If you are not in scope, carry on I guess.
If anyone is on umbrella company, demand PAYE and go self-assessment. Save some tax on travel expenses.
robbo99.:
Whoever gets into power and whatever they do with IR35, the lot of them should get their heads around this.
Tax Avoidance is totally legal
Tax Evasion is totally illegalThe moral question to Tax Avoidance is totally down to differing interpretations.
Tax avoidance is practically guaranteed - when trying to take advantage of being self-employed.
Problem is, that it’s like arguing that “I save a fortune because I get my bensons at half price on the ferry” in the days of old…
You’d be saving 100% of your overheads - IF you just gave up smoking outright!
There are things we put in receipts for, that we might just do completely without - IF we were paying for it entirely out of our own hard-earned, rather than buying stuff, with the intention of offsetting it for tax, such as buying a new works van, rather than making do with the 4-year-old one that you’ve got already… 
robbo99.:
Wouldn’t it be a wonderful world if it was Conor’s black and white world, and since when has it been illegal to set up as self employed when technically not self employed?
It is called tax evasion using disguised employment as a method to evade tax and in particular, NI.
Noremac:
If anyone is on umbrella company, demand PAYE and go self-assessment. Save some tax on travel expenses.
How are you going to do that when HMRC class going from your home to your first place of work and last place of work back to home in a day as ordinary commuting and not claimable? And no they won’t allow you to say you’re travelling from your office which is your home to the client as a business journey.
Have you falsly been claiming travel as an expense?
Conor:
robbo99.:
Wouldn’t it be a wonderful world if it was Conor’s black and white world, and since when has it been illegal to set up as self employed when technically not self employed?It is called tax evasion using disguised employment as a method to evade tax and in particular, NI.
Wrong, it’s called Tax Avoidance and is not illegal. You seem to be getting ■■■■■■■ in knots, Disguised renumeration/ employment is also Tax Avoidance and not evasion and therefore not illegal. Do keep up at the back.
So everyone in the past and everyone in the future who were/are to be affected by IR35 are guilty of Tax Evasion? I can tell you now it is Tax Avoidance that it falls under, therefore no criminal records or prison sentences.
Typical HMRC attitude, this time on their CEST online employment status checker shambles