Whats your views on Budget 2015?

[Wijay@WISAccountancy]

Like to hear the opinions from contractors.

[7specialgems]

Like to hear the opinions from contractors.

Did I just hear PSCs with a sole director as the only employee no longer qualify for the NIC employment allowance?

[ContrataxLtd]

Did I just hear PSCs with a sole director as the only employee no longer qualify for the NIC employment allowance?

You sure did!

Will be interesting to see exactly when it applies from, will it be backdated to the start of this tax year or just apply from 2016/17 onwards.

Martin
Contratax Ltd

[SimonMac]

You sure did!

Will be interesting to see exactly when it applies from, will it be backdated to the start of this tax year or just apply from 2016/17 onwards.

Martin
Contratax Ltd

Is this the £2k alowance we were "given" a few budgets back?

[ContrataxLtd]

Is this the £2k alowance we were "given" a few budgets back?

That exact one, although very few contractors will actually use all the £2k and if they do it's normally because they have staff so will still get it going forward I believe.

[TheFaQQer]

Did I just hear PSCs with a sole director as the only employee no longer qualify for the NIC employment allowance?

KUATB

[7specialgems]

We are firmly in the cross hair in this budget. I shall be reading the fallout from this in the next few days attentively and under no circumstances whatsoever will I ever again be working with the public sector.

[Maslins]

Did I just hear PSCs with a sole director as the only employee no longer qualify for the NIC employment allowance?

If that's the rule with no extra fluff then I can see plenty of PSCs wanting to perhaps employ someone else on a zero hour contract, with no hours expected. Hey presto, two employees so you can claim.

I really wish they hadn't introduced the employment allowance in the first place. So much more faff than it's worth...and now they need to introduce further complexities because people were in their eyes abusing the initial system.

Drives me nuts, no wonder the tax system gets so complicated, as they're constantly introducing new crap, which they then get upset that some people use, so they need new "anti avoidance" rules to stop it being used...inevitably people find ways around that so yet more legislation is required. Massive waste of everyone's time, all chasing pennies.

#rantover

[7specialgems]

Starting to wonder if the NIC allowance was always intended as a trap that can be used in a data query to flag up PSCs and help compliance teams isolate targets for enquiries.

As has already been suggested, non PSCs go forward unaffected.

[SimonMac]

If that's the rule with no extra fluff then I can see plenty of PSCs wanting to perhaps employ someone else on a zero hour contract, with no hours expected. Hey presto, two employees so you can claim.

I really wish they hadn't introduced the employment allowance in the first place. So much more faff than it's worth...and now they need to introduce further complexities because people were in their eyes abusing the initial system.

Drives me nuts, no wonder the tax system gets so complicated, as they're constantly introducing new crap, which they then get upset that some people use, so they need new "anti avoidance" rules to stop it being used...inevitably people find ways around that so yet more legislation is required. Massive waste of everyone's time, all chasing pennies.

#rantover

They bring this rule in after making it difficult for PSC's to have muplitple employee's due to the Pension Auto Enrollment, its almost like the left hand is in fact talking to the right!