Anyone using nolongerlimited

**itcontractor07** · 26 March 2007, 11:24

That is all Bollocks....I had a chat with them before I have joined SJD. I think they are acting tooooo safe. From what I understood from them was, since Gordo is after people who are trying to avoid tax, he will be sooner or later be after guys who run their own lts company just to avoid tax. I know the setup of ltd co and drawing dividends etc on paper are legal.

I would say let me be legal first so ltd com is legal and if gordo really says after a year this is also going to be scrapped, I would then switch on the legal solution available at that time.. But atleast till next year I have made some more money.. isn't it..

That's what I felt and decided to run my own com and use SJD as accountants

Cheers

**simondolan** · 26 March 2007, 11:33

Originally posted by AZZIK

Is anyone using nolongerlimited, anuy thoughts as my friend has just signed up to them and they saying tax man is going to go after people that pay them selves a lot of dividends.

Utter rubbish.

Gordon has signalled his intention in terms of "tackling tax avoidance through incorporation" and that is to raise the small Companies rate of tax from 19% to 22% over the next few years.

Simple, clear, straightforward and applicable to all small Companies.

**AZZIK** · 26 March 2007, 13:09

Thanks both for your replies I have sent them to my friend hoping she will see sense. I am going through an accountant as feel that is the best option.

So you think with increase in corporation tax Gordo won't be doing much IR35 Investigations?

**simondolan** · 26 March 2007, 13:16

Originally posted by AZZIK

So you think with increase in corporation tax Gordo won't be doing much IR35 Investigations?

Too early to say, but out of 4500 clients we don't have any more than 6 on- going IR35 enquiries. He may ramp the investigations up, but percentage wise there would still only be a very small risk.

It may well be that they will leave IR35 well alone and enjoy the additional tax and NI it brings in by default from people inside, or too scared or ill informed to operate outside IR35.

**Denny** · 26 March 2007, 14:50

Isn't that a bit like saying that there is only a small chance of getting AIDS so you needn't bother wearing a condom?

Also, if Gordo, has sprung his latest CT tax hike on us, that was completely unforseen, isn't he capable of doing just about anything else, now he's lulled us into a false sense of security?

My advice would be to watch your back and don't take anything for granted.

**simondolan** · 26 March 2007, 15:04

Originally posted by Denny

Isn't that a bit like saying that there is only a small chance of getting AIDS so you needn't bother wearing a condom?

Also, if Gordo, has sprung his latest CT tax hike on us, that was completely unforseen, isn't he capable of doing just about anything else, now he's lulled us into a false sense of security?

My advice would be to watch your back and don't take anything for granted.

Not really, what with AIDS being a life threating illness and all that. Using the analogy however you would argue that it is all about personal choice.

Yes, there is risk in running your own Company - however small. There is also risk in crossing the road, flying, getting married, getting divorced etc etc etc

To my mind the tax hike signals his intentions to simply tax ALL small companies more highly and be done with it - all the fiddling around with IR35 etc evidently hasn't raised enough income.

The 22% rate matches the basic rate of income tax, putting Ltd Co owners on a similar footing as self employed people.

**malvolio** · 26 March 2007, 15:16

Originally posted by simonsjdaccountancy

Nsnip...

The 22% rate matches the basic rate of income tax, putting Ltd Co owners on a similar footing as self employed people.

Taking that forward a little, then, and probably being a little bit dim, but what is the impact on the taxation of dividends? Currently they are tax neutral until you go to 40%, does this increase in taxation at the CT stage mean you now get a rebate??

**Bluebird** · 26 March 2007, 15:19

Originally posted by malvolio

Taking that forward a little, then, and probably being a little bit dim, but what is the impact on the taxation of dividends? Currently they are tax neutral until you go to 40%, does this increase in taxation at the CT stage mean you now get a rebate??

I'm surprised that these don't attract 22% as well.

By the way in reply to Simons post "The 22% rate matches the basic rate of income tax, putting Ltd Co owners on a similar footing as self employed people" - by 2009 income tax will be lower than CT [ although you'll still have NI ].

Anyone using nolongerlimited