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

[psychocandy]

The legislation does not say anything about connected persons. Anyone who is advising against taking it on that basis should read the legislation.



Having two directors does not make you eligible. You have to have more than one person to whom your company is paying earnings as the secondary contributor, or have the one person receiving earnings not be a director.

In other words, at least two employees unless your one employee is not a director.

The only thing I'm not sure of is the "secondary contributor" language. If earnings for a second employee are below the NI threshold, is the company the secondary contributor, or is there no secondary contributor? I could look it up but can't be bothered.

An accountant who advises someone not to claim because there is a risk is providing very poor advice, IMO. It may be withdrawn in future if the second employed earner is a connected person, but it certainly hasn't been withdrawn for that reason yet.

BTW - my accountant is Nixon Williams.

To be fair to them, they are rarely wrong or give bad advice.

Too lazy to read all the official stuff - but what was the consensus? That they're right?

[northernladuk]

BTW - my accountant is Nixon Williams.

To be fair to them, they are rarely wrong or give bad advice.

Too lazy to read all the official stuff - but what was the consensus? That they're right?

Just claim it.. Since when did taking the piss bother you?

[psychocandy]

Just claim it.. Since when did taking the piss bother you?

Ah but the important thing is who's opinions I trust and consider relevant. If someone important recommends trying something (or taking the piss) then I will consider it.

Nixon Williams - who have proved over the years to be exceptional accounts and have always proved to have my best interests in mind - I trust 100%.

Certain people on this forum - who over the years have shown a tendency to act like bell ends because they like doing so - 0%.

[northernladuk]

Shame NW only do your accounts and not run your contracting career for you.

[WordIsBond]

Ah but the important thing is who's opinions I trust and consider relevant. If someone important recommends trying something (or taking the piss) then I will consider it.

Nixon Williams - who have proved over the years to be exceptional accounts and have always proved to have my best interests in mind - I trust 100%.

Then why are you asking if you trust them 100%?

But I'll help you out. I'm "someone important" (I said it on the Internet, so it must be true) and I "recommend trying something." I recommend that you try reading the legislation. If you aren't smart enough to read it in two minutes and figure out how it does or doesn't apply to you, then you deserve to pay the extra tax. In that case, just follow your accountant's excessively risk-averse advice and don't claim EA.

[john@UKCA]

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.

Rubbish that happens to be right! - 2 directors can claim EA!

There you go your quote about Accountant should know this - I do (NW clearly dont or are being ultra cautious).

[jamesbrown]

Rubbish that happens to be right! - 2 directors can claim EA!

There you go your quote about Accountant should know this - I do (NW clearly dont or are being ultra cautious).

I think you're struggling to understand the difference between what is necessary and what is sufficient.

BTW, to ask again, who do you work for? It's difficult to attach any credibility to your posts when you're seemingly unwilling to share this basic info.

[WordIsBond]

Rubbish that happens to be right! - 2 directors can claim EA!

Only if both of them are wage earners.

I only respond to you because other people are reading and might be confused by your rubbish.

[SueEllen]

BTW, to ask again, who do you work for? It's difficult to attach any credibility to your posts when you're seemingly unwilling to share this basic info.

I doubt you will get an answer.

[northernladuk]

I doubt you will get an answer.

Same but you have to hope he is D Green named in the domain similar to the posters name (minus spaces). If not I feel sorry for D Green as this guy has utterly destroyed his brand.