Hi,
I've been contracting from last 3 years though my own Limited Company. My spouse has been working as a permanent employee paying higher band tax-rate for one of the IT Consulting companies and is now getting a contract offer from one of the public sector clients (it is outside IR35 as confirmed by the client). What would be more tax-efficient?
a. She setting up her own limited company?
b. She asking for a contract in my limited company's name and joining my limited company as a Director/Shareholder? Also, what could be additional overheads (if any) for my Limited Company and both of us as Directors?
c. She asking for a contract in my limited company's name and joining my limited company only as an Employee and not Director/Shareholder? Also, what could be additional overheads (if any) for my Limited Company and me as the only Director?
Thank you.
I've been contracting from last 3 years though my own Limited Company. My spouse has been working as a permanent employee paying higher band tax-rate for one of the IT Consulting companies and is now getting a contract offer from one of the public sector clients (it is outside IR35 as confirmed by the client). What would be more tax-efficient?
a. She setting up her own limited company?
b. She asking for a contract in my limited company's name and joining my limited company as a Director/Shareholder? Also, what could be additional overheads (if any) for my Limited Company and both of us as Directors?
c. She asking for a contract in my limited company's name and joining my limited company only as an Employee and not Director/Shareholder? Also, what could be additional overheads (if any) for my Limited Company and me as the only Director?
Thank you.
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