Employment Allowance, To Claim, Or Not To Claim...

[northernladuk]

[UK Contractor Accountant]You could maximise the take home pay further be paying the allowance as a loan[/UK Contractor Accountant]

FTFY.

[john@UKCA]

Stand by for incoming missile, blowing "UK Contractor Accountant" out of the water (again).

The article linked earlier in this thread was written before the legislation was published. The legislation which has actually been enacted perhaps might possibly be construed to have more authority than an out of date article from the CIOT. Just possibly.

One would think a real accountant would know that and would actually look at the legislation (I linked it and copied it, it's not hard) rather than simply cite a dated CIOT article.

Suggest you have a read- looks like you have blown yourself up with your own missile!

Employment Allowance 2016/17 | AccountingWEB

http://www.accountingweb.co.uk/anyan...wife-directors

http://www.accountingweb.co.uk/anyan...l-partly-there

[john@UKCA]

Not doing well in picking up clients via this board are you....

How would you know?- anyway board is not for self promotion as per mods/admins

[SueEllen]

How would you know?- anyway board is not for self promotion as per mods/admins

I don't know but I think a few of the other accountants, umbrella companies and debt collection firms have got new clients from their useful posts...

[jamesbrown]

Suggest you have a read

Employment Allowance 2016/17 | AccountingWEB

Employment allowance with husband/wife directors | AccountingWEB

Is it still partly there ? | AccountingWEB

I have no idea why you'd need to read any of that. I've posted the draft legislation. It's draft legislation. It tells you everything you need to know in a few sentences, with that caveat. Rarely for legislation, the changes are pretty limited and straightforward. There's an earnings requirement (i.e. "secondary contributor") and there's a requirement that, to qualify for the allowance, you cannot have a single employed earner that is also a director. Also bear in mind the usual rules for business expenses, specifically w/r to whether a salary can be offset for CT purposes, but that's a separate issue (but one that will no doubt catch out a couple of muppets that are tying themselves up in knots trying to obtain this allowance).

[WordIsBond]

Suggest you have a read- looks like you have blown yourself up with your own missile!

Employment Allowance 2016/17 | AccountingWEB

Employment allowance with husband/wife directors | AccountingWEB

Is it still partly there ? | AccountingWEB

LOL. I did have a read. What did I learn?

That real accountants look at and cite the legislation, like I did (though I am not an accountant nor do I, unlike some people, claim to be one), and that there has to be a second wage earner to claim EA. Having a second director does not do it unless the second director is earning a wage.

I really do prefer to be polite when I can, but you do make it difficult sometimes. It's the slapping "Accountant" on your handle, which might make people trust you at first, that gets me when you post such rubbish.

[WordIsBond]

I have no idea why you'd need to read any of that. I've posted the draft legislation. It's draft legislation.

JB, it's been enacted.

Draft Legislation:This is a draft item of legislation. This draft has since been made as a UK Statutory Instrument: The Employment Allowance (Excluded Companies) Regulations 2016 No. 344

[jamesbrown]

JB, it's been enacted.

You also linked the draft but, yes, so it was, 10 March. Here:

http://www.legislation.gov.uk/uksi/2...0160344_en.pdf

[WordIsBond]

You also linked the draft but, yes, so it was, 10 March

Yeah, was lazy on that, sorry . When I googled, it was the draft that came up, so I just went with it.

I didn't think someone would cite CIOT against the legislation itself , or I'd have been more precise.

[mudskipper]

Yeah, was lazy on that, sorry . When I googled, it was the draft that came up, so I just went with it.

I didn't think someone would cite CIOT against the legislation itself , or I'd have been more precise.

Tut. Can't get the staff.