New contractor & IR35

[xoggoth]

Re: Keeping records

But if you look at the IR's own info tim123, I think it says (this is off the top of my head admittedly) that a company needs to keep PAYE records for three years and info relevant to your personal tax return for 22 months after submission.

I quite agree it would be wise to keep records for at least six years to counter any excessive estimates by the IR, but I cannot see any reason why one should supply information older than three years to them that would not help your own case.

I have had two PAYE enquiries and can say they only ask to see three years' records normally.

[tim123]

Re: Keeping records

www.inlandrevenue.gov.uk/...sme3.htm#5

Is your friend. Note that we *are* talking about company records here: the contract and invoices between the Co and its client.

tim

[xoggoth]

Re: Keeping records

Interesting tim123.

However, if you look at the latest version of booklet 490 it still says in section 11.2 that records relating to employee expenses and benefits need only be kept by the company for 3 years. (And in section 12.1 about the 22 months for personal tax returns)

Yet in the section for your link it lists "all receipts and expenses that arise in the course of the business" which would presumably include employee expenses and benefits. Looks like a clear case of the IR not knowing its arse from its elbow. Not uncommon. (Probably because it is 100% arse and no elbows or other more acceptable body parts)

Your section deals with records to support a company tax return, ie corporation tax. Invoices certainly but not sure a contract is relevant here as IR35 has no direct relevance to CTSA. If you have not paid sufficient salary or a deemed payment you will have paid more CT than you should have, so there is no liability under that heading and it won't be the CT bods pursuing you for dosh.

Suspect we are both rather off the point. Possibly there is something in the IR35 stuff that deals directly with contract records. Anyone know?