Claiming Expenses, VAT or something along those lines Help!

[northernladuk]

Close but not quite right XD


Tbh I just wanted to see what the policies are around this in regards to umbrella companies and if it was at all similar to a LTD.

Running a VDI for now, hopefully it stays that way! Although I doubt it in which case a few upgrades would be welcome and wanted to get all the info on financial help/savings.

Appreciate all the help and discussion!!

Not similar at all. No expenses through an umbrella unless its charged back to the client.

[ladymuck]

Not similar at all. No expenses through an umbrella unless its charged back to the client.

So my suggestion of filling in a form to HMRC like employees can do is totally not available either? That way they could get some tax relief if they pass the eligibility checks.

[supfoxtrot]

So my suggestion of filling in a form to HMRC like employees can do is totally not available either? That way they could get some tax relief if they pass the eligibility checks.

I'm going to give it a shot as if it's s available why not try and use it.

Also, on a few other forums and threads I've heard that I may be able to as the my income is linked to my expense in a significant way, not sure if that's the right wording but you get the jist.

[northernladuk]

So my suggestion of filling in a form to HMRC like employees can do is totally not available either? That way they could get some tax relief if they pass the eligibility checks.

Well yeah but no. He was wondering if umbrella expenses was similar to Ltd so I said no. No expenses through brolly. I didn't mention other routes that might be available.

I was going to be a pedant and suggest a temp upgrade of his PC doesn't really meet the criteria for needing it for his job as he doesn't really. It's just a temporary thing because the world has gone to rat tulip but that's splitting hairs really. Easy enough to argue the other way if he wants to.

[supfoxtrot]

Well yeah but no. He was wondering if umbrella expenses was similar to Ltd so I said no. No expenses through brolly. I didn't mention other routes that might be available.

I was going to be a pedant and suggest a temp upgrade of his PC doesn't really meet the criteria for needing it for his job as he doesn't really. It's just a temporary thing because the world has gone to rat tulip but that's splitting hairs really. Easy enough to argue the other way if he wants to.

If you did have any other route that would be beneficial to check out I would be very grateful.

The only reason I'm even looking into this is that my job is more than likely going to stay working from home so I need a decent setup to be able to complete my work now and in the coming years. My company have set up the infrastructure to work from home and are saving a ton of money by doing it so they are trying to push everyone to sticking around and working from home. Which I'm all for but with it comes some extra costs that they aren't able to pay for nor obligated but as its business related I wanted to ask about for some advice and expertise.

[Scruff]

Unfortunately, you are an employee of your Umbrella. The fact that you see yourself as a Contractor is not the same as if you were operating through a Limited Company. There is a difference between employment law and tax law. It's the legal entity which is "in business" (ie The Limited Company), and is thus entitled to the investment allowance when purchasing business assets required to conduct it's trade.

No expenses available to Umbrella employees unless their end client is prepared to accept the cost to be charged back to them, in which case the end client would be better off supplying to you direct. Worth asking the end client the question, though (you won't be getting the high-end gaming-machine of your dreams, however)?

[Lance]

If you did have any other route that would be beneficial to check out I would be very grateful.

The only reason I'm even looking into this is that my job is more than likely going to stay working from home so I need a decent setup to be able to complete my work now and in the coming years. My company have set up the infrastructure to work from home and are saving a ton of money by doing it so they are trying to push everyone to sticking around and working from home. Which I'm all for but with it comes some extra costs that they aren't able to pay for nor obligated but as its business related I wanted to ask about for some advice and expertise.

"business related" works when you run a business. You don't.
It's not like you're out of pocket. Think of all the savings you'll make on not travelling to your office.

Ironically, you can claim tax relief on business travel by your self assessment.
The tax system is not setup for your situation as you'd normally get a PC from your employer. Although, as your using virtual desktop your employer may well provide you a schonky PC exactly as you had as it's adequate.

This has been done to death. You can't claim your PC upgrade back unless your employer is wiling to pay..... End of.

[supfoxtrot]

Unfortunately, you are an employee of your Umbrella. The fact that you see yourself as a Contractor is not the same as if you were operating through a Limited Company. There is a difference between employment law and tax law. It's the legal entity which is "in business" (ie The Limited Company), and is thus entitled to the investment allowance when purchasing business assets required to conduct it's trade.

No expenses available to Umbrella employees unless their end client is prepared to accept the cost to be charged back to them, in which case the end client would be better off supplying to you direct. Worth asking the end client the question, though (you won't be getting the high-end gaming-machine of your dreams, however)?

Ahh that makes sense. I always thought I was an employee but we have been told countless times we are not employees but contractors. And it's been pointed out in our contract.

This is one of the reasons I hate umbrella companies, we are employees so we don't get businesses expenses and then we aren't exactly employees as we don't get employer benefits.

They have a nice little rip off situation going.

[wattaj]

May I jump in with one, minor point: it is possible to be an employee of an umbrella company and self-employed at the same time. A bit more complicated, yes, but perfectly possible. A self-employed person can claim expenses that are not available to an umbrella employee, but one has to be on top of the tax rules when completing the self-assessment at the end of the year.

Anyway; it's just a thought...


*waits for "FinanceContractor" to calm down*

[supfoxtrot]

May I jump in with one, minor point: it is possible to be an employee of an umbrella company and self-employed at the same time. A bit more complicated, yes, but perfectly possible. A self-employed person can claim expenses that are not available to an umbrella employee, but one has to be on top of the tax rules when completing the self-assessment at the end of the year.

Anyway; it's just a thought...


*waits for "FinanceContractor" to calm down*

Very interesting ?