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Old 10th May 2006, 12:13   #3
Bradley
Should try harder
 
Join Date: Jul 2005
Posts: 180
Default Composites

Quote:
Composite

A Composite Company is one where a number of contractors use the same Company to invoice through. The system works in much the same way as an Umbrella, but the tax payable is less (assuming you are not caught by IR35)
Simon - I thought composites wouldn't touch you if there was a possibility that you would be caught by IR35? The reason being that this made the holding of the shares pointless as well as mucking up the amount that could be distributed to the other "shareholders".

I also understood that there was already legislation passed in 2003 that took away the tax benefits of issuing "alphabet" shares?
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