Experience with ITECS?

[Cameron Wallace]

Itecs

There are quite a few companies out there you can use in Europe (depending on country). You really need to go and ask a few of them for a quote as the % return can be quite different as is their levels of professionalism. I wouldn't necessarily go with the your recruiters option as they all get kickbacks from the management companies. Try www.contractortaxation.com they have a few companies they can recommend you to, they vet them and can give you a quote.

[malcy1968]

ITECS / Parker Woods - AVOID!!!!!!!!!!!!

I used them for a contract in Belgium earlier this year and never received my final months pay.

I chased them and chased them but unfortunately am now at the stage of taking legal action. All I have had is promises to look into why it is taking so long.

They are difficult to contact and only reply if you harass them.
They quoted 80% retention and claimed they were experts in Belgium tax law only to drop it down to 60%, as soon as I signed, apparently due to an investigation by the Belgium authorities.

These guys are pretty dodgy. They have a very contrived way of paying you which is leaves you high and dry with regards to UK tax.

Spare yourself the phone bills and hassle. I wouldn't want anyone else to go through this hell. Play it safe and go with one of the others.

It's a too good to be true offer from them and I was naive in going down this route.

Bottom line .... if you want actually get paid for your work then don't choose these crooks.

[BlasterBates]

Be very careful with proportion of your income that is transferred overseas. Regardless of whether it really is legal, which I doubt you will inevitably face a long protracted legal battle should the authorities find out about it.

I was offered this by a management co. in Luxembourg, and I´m darn glad I refused, as the authorities in Luxembourg and Belgium are now investigating.

I opted to hve two contracts one in Britain and Lux. and payed UK NI. I submitted my UK P45 to the Luxembourg authorities as you are obliged to do and received no demand for any extra tax.

If a management co tell you, you are not supposed to disclose income then it is most decidely dodgy. You are responsible for your personal tax return.

[surfer]

ITECs dividend solution

After the ICC debacle in Belgium I looked around for another MC. I have projections from ITECs to work for them on a Belgian employyes contract but something is bothering me.

They push their offshore dividend scheme very heavily - you get paid a Belgian salary (+ COLA if expat) and everything that is left gets "invested" in an offshore company which pays dividends monthly. They claim all this is agreed with the BTA and part of that agreement is the taxation of the dividend.

OK - but the weird part is how the taxation of the dividend is calculated. They take the gross Belgian salary (+ COLA if applicable) and calculate the tax on the dividend at 12% of that WTF? They have confirmed to me in email that this is the arrangement they have with the BTA.

I have asked if I get a "proper" Belgian payslip. According to them this is in the works with a firm of Belgian accountants but following the PW takeover is not yet up and running. All we get for now is the ITECs "Income statement". I smell a large rat here somewhere.

It is financially particularly broken at the moment as the project I am working on is putting us all on short time (12 days forced holiday this month). I can forsee a situation where the "dividend tax" is more than 100% of the dividend!

Can anyone who has previous experience of this Belgian dividend solution with ITECs cast some light for me?

[Brussels Slumdog]

[QUOTE=surfer;834603]After the ICC debacle in Belgium I looked around for another MC. I have projections from ITECs to work for them on a Belgian employyes contract but something is bothering me.

There seems to be no 100% legal solution at present. All the payroll companies that I have contacted to date all operate out of Belgium ie
Switzerland or Luxembourg and offer questionable solutions like paying
Cyprus or Swiss social security plus Belgian salary.

The problem is that €10,000 gross equals €4000 nett. The only way that your
agency can convince you that €500 a day is great is by recommending
one of these Switzerland or Luxembourg based companies who promise you
a figure higher than you would be earning in the UK.

As a Belgian resident I am looking for contracts outside Belgium until I can
I am currently on a short term project in the UK.
If someone knows of a Belgian payroll company I would be interested in hearing from them.

[BlasterBates]

Paying another NI is OK, as long as you have a contract, and you get a P45 or equivalent and fill that on your Belgian tax form.

This is common that you can do a proportion of your work in another country, a small amount and if you have a bonafide contract from the foreign subsiduary and a tax return. I see no problem.

The key thing is that you get a Swiss or Lux tax return indicating clearly you've paid social insurance, and probably no tax.

...and it must be declared on your Beligian tax form.

I did this with ITECS and payed UK NI instead of Lux NI, I had a british contract and sent my P45 to the Lux Tax man at the end of the year.

This isn't comparable with offshore loan schemes, which are usually hidden.

[CyranoB]

Can anyone who has previous experience of this Belgian dividend solution with ITECs cast some light for me?

I'm using ITECs and I'm getting a real salary slip (through a belgian "secretariat social"), with Belgian social security payment and COLA, plus foreign dividends.
The total tax rate is now more like 50-60% The only real solution left is a Belgian SPRL/BVBA.

[Unicorn]

To Malcy1968

I think I am in the same position as you are. Could you possibly PM me (you may have to get the Mods to activate this for you) so I can compare experiences.

Thanks,

Unicorn

[ace00]

Well at least they don't get you wound up in some sort of dodgy offshore scheme. I went with ITECS, and I had Lux and Uk employment contracts that enabled me to pay NI in the UK. Didn,t have any problems, paid on time and no bother with any tax authorities. Yes the retention isn't great but it's 100% legit. Connexions offered me a scheme for "adventurous" contractors which I rejected.

Question. If I moved (on the same job) from the "adventurous" solution to the 100% legit solution would that likely cause problems? My gross monthly would double.
Any advice appreciated as I like the job here but took the wrong option on payment terms.

[stormek]

Question. If I moved (on the same job) from the "adventurous" solution to the 100% legit solution would that likely cause problems? My gross monthly would double.
Any advice appreciated as I like the job here but took the wrong option on payment terms.

Hi ace00. I'm facing the same dilema as you. Let me know you findings and I also ask people reading this for their comments/suggestions. Is ITECS really dodgy and a manco to avoid?

Tks.