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Retaining VAT Monies

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    #11
    Originally posted by Chart Accountancy View Post
    I agree with Neil, the FRS is taxed as an additional salary. It will not be possible to earn any income under IR35 that is not taxed through PAYE.
    So that means both of Lance's posts were wrong?
    'CUK forum personality of 2011 - Winner - Yes really!!!!

    Comment


      #12
      Originally posted by northernladuk View Post
      So that means both of Lance's posts were wrong?
      apparently so.
      The question then begs as to why on earth you'd ever be on FRS if you're inside IR35. You'd be far better off just taking the VAT off your puchases.
      See You Next Tuesday

      Comment


        #13
        Originally posted by Lance View Post
        apparently so.
        The question then begs as to why on earth you'd ever be on FRS if you're inside IR35. You'd be far better off just taking the VAT off your puchases.
        You are right, if you incur vat inclusive business expenses not linked to the IR35 contract, you will be better off on the standard scheme.

        Comment


          #14
          Thank you everyone - much appreciated. I tend to agree with you on it being taxed as income, makes sense.

          Comment


            #15
            Originally posted by Chart Accountancy View Post
            You are right, if you incur vat inclusive business expenses not linked to the IR35 contract, you will be better off on the standard scheme.
            Unfortunately, that isn't my choice

            Comment


              #16
              Originally posted by Jenme View Post
              Unfortunately, that isn't my choice
              Why not? Are you not the director of the LTD?
              See You Next Tuesday

              Comment


                #17
                Originally posted by Lance View Post
                Why not? Are you not the director of the LTD?
                Going for a third strike?
                'CUK forum personality of 2011 - Winner - Yes really!!!!

                Comment


                  #18
                  Originally posted by northernladuk View Post
                  Going for a third strike?
                  "why not" I thought.
                  See You Next Tuesday

                  Comment


                    #19
                    I think FRS does work out better for us and when I rang HMRC to check whether I had set it up right (I'm learning so checking everything twice) they said, I had to be on that scheme.

                    Comment


                      #20
                      You don't have an accountant?
                      'CUK forum personality of 2011 - Winner - Yes really!!!!

                      Comment

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