Ltd Only, No Umbrellas - Why ?

[SunnyInHades]

Interesting requirement I've just seen in an email from an agency ..
"candidate must have their own limited company no umbrella companies"

Never seen such a requirement before from an agency.
Any suggestions why ?

[LondonManc]

Probably because the contracts are IR35-friendly and they don't want someone fecking it up.

[northernladuk]

Possibly because of the changes coming in 2017. An umbrella user may be looking to can the gig when it hits where a LTD guy will continue working. If the client has form for keeping contractors for long periods of time an Umbrella user becomes high risk to the agents income.

[SlipTheJab]

Possibly because of the changes coming in 2017. An umbrella user may be looking to can the gig when it hits where a LTD guy will continue working. If the client has form for keeping contractors for long periods of time an Umbrella user becomes high risk to the agents income.

^^^ This sounds like the reason, Wonder if we'll see a bit more of this now.

[DotasScandal]

Brace yourselves for yet another round of unintended consequences set in motion by the clueless fu**ers in our Government / HMRC (these two terms can be used interchangeably)

[Alan @ BroomeAffinity]

Conversely I'm dealing with an agency at the moment who won't deal with limited company contractors, only brollies. Kick back protection I reckon.

[Andy Hallett]

Possibly because of the changes coming in 2017. An umbrella user may be looking to can the gig when it hits where a LTD guy will continue working. If the client has form for keeping contractors for long periods of time an Umbrella user becomes high risk to the agents income.

If only we planned that far ahead!

We will continue to work with Umbrella and PSCs.

[Waldorf]

If only we planned that far ahead!

We will continue to work with Umbrella and PSCs.

Depending on the kick back you get from them!

[BenDover]

Be careful operating through your own limited company if there is any risk that it could be inside IR35 as it is the director of that company which is personally accountable for any taxes deemed owed should HMRC investigate. The new legislation 339A ITEPA 2003 clearly states this and even if the company has fallen over or the director moved on it is still their personal accountability.

HMRC will deem any contractor working through an intermediary as being under supervision, direction and control. Take a look at HMRC website and view the finance bill 24th March 2016, clauses 14 & 18 will explain this a little better than I have.

[mudskipper]

Be careful operating through your own limited company if there is any risk that it could be inside IR35 as it is the director of that company which is personally accountable for any taxes deemed owed should HMRC investigate. The new legislation 339A ITEPA 2003 clearly states this and even if the company has fallen over or the director moved on it is still their personal accountability.

HMRC will deem any contractor working through an intermediary as being under supervision, direction and control. Take a look at HMRC website and view the finance bill 24th March 2016, clauses 14 & 18 will explain this a little better than I have.

I've got deja vu