Inside IR35 but Ltd Co

[ruth11]

I'm almost positive that current contract is inside IR35.
Doesn't stop me wanting to do it though, so I'm trying to work out the best way to deal with it. It's a 4 month contract, with possible extension (I hope). Am I best off taking the money through my Ltd and paying the tax, or would I be better off going brolly for a the duration of the contract?

[TheFaQQer]

Assuming you already have a LTD, then go that way.

If you haven't got a LTD, then get one, and do it that way.

[ruth11]

I do already have a Ltd. That's what I thought I'd do, but I figured I'd get some second opinions! Cheers

[TheFaQQer]

Some would say that you should be able to negotiate the contract / role to be outside IR35 too.

Have Qdos or B&C have a look at the contract and see if you can get it agreed to be more friendly.

[Turion]

Try to get the contract reviewed and changed as necessary. Either way go ltd and declare as non-IR35. A 4 month contract will not interest hector.

[ruth11]

I had it reviewed by QDOS, who failed it (marginally). But they said I should wait until I knew what the working practices were like.
Unfortunately, the working practices are also inside in my (unqualified!) opinion - full control over when and where I do the work. I have to adhere to the employee working times (but can probably negotiate different hours when I've been there a while, but still have to do 8 hours a day, even though I'm on a day rate) and can only work from home in emergencies, not whenever I want to (even though they have supplied me with the ability to do so and the work means that I could do at least once a week).
They actually want to control their contractors more than they do their permie staff, presumably because they've been shafted by some lazy unprofessional ones in the past.
Plus the permies have the attitude of contractors being the general dog's bodies of the team and therefore should be doing what they're told. And the team leader is no different to that.
It's a support\implementation role, working on both new projects and BAU, doing whatever comes in, so never any set work, it's just dished out between the team.
I know I could stay outside IR35 for a short term contract, but if it goes up to a year or more as I hope it will (good rate and close to home for a good company for my CV), then I think I would be tempting to fate to work outside.
I would never work there for more than a year to 18 months - maybe that in itself might be enough to stop me being investigated (most of the investigations I've heard about have been people working for the same company for more than 2 years) but I'm really not sure....

[ruth11]

Oh yes, can't get contract changed at all. Agency is Hays and there's no way. I think I'm going to get a 3rd opinion on it (SJD put it marginally as a pass!) before I make the ultimate decision, but the working practice stuff I wrote about above is really what concerns me.

[SueEllen]

If part your role is support then it would be expected that the client knows where and how they can get hold of you between specific hours otherwise you cannot support them.

Does the contract stipulate you have to work 8 hours? Or does it say something about having to be available for the client during a professional day?

Are you told how to do the support work?

Are you involved in how the work is dished out? For example if they are dishing the work out and you speak up first, do you get that work?

[sidknows]

as far as I understand it , even if inside ir35 , your take home is higer than through an umbrella ( unless artificial expenses are taken into account)

Its the only way to contract -ie your own limited

ps join the pcg

[malvolio]

The IR35 status, based on what you've said, is about differentiating you from the permies. If you are both working to the same level of D&C becuase that's the only way the job will get done, you may be able to finesse the IR35 trap.

SJD know the rules as well, and although the Hays contract is pretty horrible it has been put outside IR35 on occasion. Go back to B&C, now you know the details, and they will give you a definitive answer.

As for the original question, stick with the Ltd since you have one. No point paying someone else to do what you already do, is there?

And join the PCG...