Re:Investigation
I assume the IR can open up an investigation in to your personal tax affairs, and then ask about the company? It seems a bit unfair.
They can, but they must write to the company and open an enquiry under the company tax reference. Until they do, your friend can tell them to get lost.
This is just another example of the Revenue blurring the lines between the individual and the company. The whole approach implies that the Inspector you're dealing with sees your friend as self-employed and is using the company as a tax-efficient "shell".
The reality is, of course, that the contractor is forced by circumstance to form a company and gets the attendant responsibilities as well as the tax advantages.
Most Inspectors don't realise this as they have spent a lifetime in a very large organisation filling out endless forms and have no sympathy, therefore, with those faced with the reality of what happens in the job market today.
I assume the IR can open up an investigation in to your personal tax affairs, and then ask about the company? It seems a bit unfair.
They can, but they must write to the company and open an enquiry under the company tax reference. Until they do, your friend can tell them to get lost.
This is just another example of the Revenue blurring the lines between the individual and the company. The whole approach implies that the Inspector you're dealing with sees your friend as self-employed and is using the company as a tax-efficient "shell".
The reality is, of course, that the contractor is forced by circumstance to form a company and gets the attendant responsibilities as well as the tax advantages.
Most Inspectors don't realise this as they have spent a lifetime in a very large organisation filling out endless forms and have no sympathy, therefore, with those faced with the reality of what happens in the job market today.
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