Choosing an accountancy + IR35 survey

[ptrcontract]

Hi,

I am currently a permanent IT employee, just having received my first offer of an IT contract role.

I have been researching various websites and this forum (including the stickies) for information regarding my options.

I would prefer to go via the Ltd Company route, so I have called up various firms to investigate further what they offer, the costs and timescales involved.

From these forums, two companies seem highly recommended: SJD and Nixon Williams.

SJD seem to offer comprehensive accountancy services at 95+VAT/month and company registration, bank accounts, and PAYE & VAT reg. at 125+ VAT.

Nixon Williams seem to offer both services at 60+VAT/month.

First of all, I wondered if anyone could recommend one above the other - given the difference in cost.

Next, is the IR35 issue - my agency has informed me that the contract I have been issued is "IR35-friendly" are there are currently other contracts using the same contract and operating outside IR35.

However, I obviously want to cover my bases here and get the contract checked professionally. SJD offer this service for £150 + VAT.

I have been recommended to use LawSpeed, who either charge £260+VAT, which includes a review of working practices, or £85+VAT for the initial half-hour, and £140+vat/hour after that.

Has anyone used either of these companies and again can recommended?

I have also been recommended to become a member of PCG, which I understand includes professional insurance - is this different from Professional Indemnity Insurance? IS PCGPlus to best product to purchase?

Finally, the Survive35 TaxSafe product from Abbey Tax - seems like a necessity if operating outside IR35 - is anyone subscribed to this and can this also be recommended?

Many thanks

[malvolio]

Hi,

I am currently a permanent IT employee, just having received my first offer of an IT contract role.

I have been researching various websites and this forum (including the stickies) for information regarding my options.

I would prefer to go via the Ltd Company route, so I have called up various firms to investigate further what they offer, the costs and timescales involved.

From these forums, two companies seem highly recommended: SJD and Nixon Williams.

SJD seem to offer comprehensive accountancy services at 95+VAT/month and company registration, bank accounts, and PAYE & VAT reg. at 125+ VAT.

Nixon Williams seem to offer both services at 60+VAT/month.

First of all, I wondered if anyone could recommend one above the other - given the difference in cost.

Next, is the IR35 issue - my agency has informed me that the contract I have been issued is "IR35-friendly" are there are currently other contracts using the same contract and operating outside IR35.

However, I obviously want to cover my bases here and get the contract checked professionally. SJD offer this service for £150 + VAT.

I have been recommended to use LawSpeed, who either charge £260+VAT, which includes a review of working practices, or £85+VAT for the initial half-hour, and £140+vat/hour after that.

Has anyone used either of these companies and again can recommended?

I have also been recommended to become a member of PCG, which I understand includes professional insurance - is this different from Professional Indemnity Insurance? IS PCGPlus to best product to purchase?

Finally, the Survive35 TaxSafe product from Abbey Tax - seems like a necessity if operating outside IR35 - is anyone subscribed to this and can this also be recommended?

Many thanks

I think your reading might need to be repeated, most of that is actually answered in the various fora! However, there is a lot to take in, so briefly:

I use SJD, others use Upton and Nixon Williams. We rarely get serious complaints about any of them, so talk to them and go with whoever you feel most comfortable with.

PCGPlus is the best option: financially it's a no brainer. However, the insurance they give is Investigation insurance to cover professional representation in case of an HMRC enquiry (just like it says on the website) and is not PI/PLI/ELI - if you need that, PCG members get a decent discount.

Get your contracts reviewed professioanlly by Lawspeed or B&C - you are not yet competent to judge their status for yourself (like most people in fact, it's a minefield)

I'm on record as saying anything other than PCG-style insurances are a waste of money, since you are insuring against something the insurer is certain won't actually happen. Others disagree (they're wrong, but hey...)

Learn to ignore VAT, think nett. VAT is not your money

Standard caveat applies - you want to be a contractor, you have to make your own decisions. Have fun.

[TheFaQQer]

I use Qdos for my checking of contracts, as their quick "yes/no" decision is a lot cheaper. An agency will always tell you that their contracts are IR35 friendly - don't believe a word they tell you.

I pay for investigation insurance, since I paid before I joined PCG Plus - worth joining for the protection, sample contracts, support, etc. etc. Whether I would pay for protection is something I always said I would, but am no longer quite as sure. I don't pay for it at the moment.

Good luck, and welcome!

[ptrcontract]

I use Qdos for my checking of contracts, as their quick "yes/no" decision is a lot cheaper. An agency will always tell you that their contracts are IR35 friendly - don't believe a word they tell you.

I pay for investigation insurance, since I paid before I joined PCG Plus - worth joining for the protection, sample contracts, support, etc. etc. Whether I would pay for protection is something I always said I would, but am no longer quite as sure. I don't pay for it at the moment.

Good luck, and welcome!

Thanks for the advice!

Legally, is there any preference (or indemnity) with using a solicitor-based company such as Lawspeed or a consultancy like QDOS? Or I suppose the bigger question - are you paying for a professional opinion rather than any protection?

Who do you use for the investigation insurance and will they accept/value QDOS' survey equally as one by Lawspeed or B&C?

[malvolio]

Thanks for the advice!

Legally, is there any preference (or indemnity) with using a solicitor-based company such as Lawspeed or a consultancy like QDOS? Or I suppose the bigger question - are you paying for a professional opinion rather than any protection?

Who do you use for the investigation insurance and will they accept/value QDOS' survey equally as one by Lawspeed or B&C?

Nope, getting bored now. You're not listening...

[Zorba]

Nope, getting bored now. You're not listening...

Bit harsh there, Malvolio. You expect him/her to infer that because you only said Lawspeed/B&C that people such as QDos don't do valuable contract reviews?

What I mean is, do Lawspeed/B&C offer any better quality of review than SJD etc? Do they offer some comeback etc or is it 'just' a review by a contract law expert?

I'm asking because I seem to recall seeing posts saying that Lawspeed weren't worth using... I will have to dig around for this to back it up though - not sure at all.

[TheFaQQer]

Thanks for the advice!

Legally, is there any preference (or indemnity) with using a solicitor-based company such as Lawspeed or a consultancy like QDOS? Or I suppose the bigger question - are you paying for a professional opinion rather than any protection?

Who do you use for the investigation insurance and will they accept/value QDOS' survey equally as one by Lawspeed or B&C?

No idea about what you pay for.

PCG coverage covers you for the costs of an investigation, with no need for an assessment. That's not to say that they won't recommend that you pay up, but I don't think it's happened before though.

Have a search on the fora - it's been asked before a number of times, hence Mal's last post.

[ptrcontract]

I pay for investigation insurance, since I paid before I joined PCG Plus

Who did you get this investigation insurance through?

[TheFaQQer]

Who did you get this investigation insurance through?

Qdos

My accountant (not one mentioned on these boards) also offered it, but it was expensive.

BUT, if you're joining PCG, then you don't need it. I only joined PCG after I'd paid for the insurance - I won't be renewing the policy when it comes up.

[Lewis]

Qdos

My accountant (not one mentioned on these boards) also offered it, but it was expensive.

BUT, if you're joining PCG, then you don't need it. I only joined PCG after I'd paid for the insurance - I won't be renewing the policy when it comes up.

You can get a pro-rate refund any time I believe.