Yet Another IR35 Question

[Mindomoo]

I was told recently that the term PSC was in fact the correct legal definition.

Direct me to the legal definition in legislation.

Not the accepted usage in pseudo legal circles

When I get a fo0rm asking me if I am a PSC I will tick no..........there is no such legal construct

[NotAllThere]

Malovio. I decided to cross the fence when I was informed some threads had started about me. I'm only going to post this once.
... .

And this rant has precisely what to do with Expat's question?

NotAllThere

[Lockhouse]

Malvolio - why don't you f***k off.

Excuse me, but when I told you to do exactly the same thing in a private message on another forum, you complained to the moderator. Don't dish it out if you cant take it.

[Pondlife]

Excuse me, but when I told you to do exactly the same thing in a private message on another forum, you complained to the moderator. Don't dish it out if you cant take it.

Made me chuckle.

[FarmerPalmer]

Stupidly naive and expensive way to run your life though. What's wrong with dividends as a reward for work?

Dividends are a reward for investment - for for work

[xoggoth]

Entirely up to you, but don't forget it is reasonable and ethical to at least get what employees get such as continued salary when times are slack, evening out of tax over good/bad years and cash equivalent of all the services they get - pension reviews, paye,VAT, bookkeeping and all the other time consuming paperwork done for them. That last in itelf is a lot more than 5%. Small places I have worked at have had a full time person doing that sort of admin for every about ten people.

Fair enough to think some contractors should be paid same as employees, but IR35 is a grossly unfair formula that puts them in in a worse position.

[XLMonkey]

given that, if IR35-caught, you can claim 5% of income as expenses without justification (HMRC IR35 FAQ ), wouldn't I actually be better off by insisting that I am caught by IR35?

You might be marginally better off doing this but the overall position is a bit inconsistent (i.e. on the one hand running a limited company and taking risk on whether you will get work, on the other hand paying yourself as though in full-time employment).

I would have thought that a more consistent position would have been to declare yourself as self-employed, take all revenue from the company as income, and then pay self-employed NICs instead.

I'm glad your trying to follow your principles (even if I don't agree with them on this point), by the way.