The liability for tax and NICs normally rests with the Personal Service Company or partnership
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IR35, a hypothetical situation
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Will work inside IR35. Or for food. -
Originally posted by VectraMan View PostIf your employer pays you money that you know hasn't had the correct amount of tax paid, are you then liable for that tax? I think you are. And as a director, you can't claim not to know.
If I knew that I was inside IR35 - then that is different, that is negligent, or possibly evasion, but as far as I am concerned as I sit here today, I am outside of IR35 and I have the working practices and documentation to prove it.Last edited by Jubber; 11 September 2008, 14:03.Comment
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Originally posted by VectraMan View PostThat's in the section under agencies. Taken out of context as you have it does suggest the liability is with the PSC and nobody else, but in context what they're saying is the liaibility doesn't lie with the agent.
Do you work for Sunday Solutions by any chance?Comment
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Originally posted by Jubber View PostNot out of context at all. It states quite clearly who the liability is with. If it was with the 'individual directors' then it would say that.
Regardless, it says "normally rests with the PSC", not always.Will work inside IR35. Or for food.Comment
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Originally posted by VectraMan View PostWell you've copied just the one sentence, and not the rest of the pargraph that supplies the context, but okay.
Regardless, it says "normally rests with the PSC", not always.Comment
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The link also says
"Where an engagement falls within the IR35 legislation, then the intermediary is responsible for calculating the amount of the IR35 Deemed Payment. This deemed payment normally arises at 5 April each year. "
Which suggests that if you are inside IR35 you should only pay yourself once a year?Cenedl heb iaith, cenedl heb galonComment
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Originally posted by Bluebird View PostWhich suggests that if you are inside IR35 you should only pay yourself once a year?Comment
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Originally posted by wurzel View PostSuppose I get involved in some protracted IR35 investigation that may or may not cost me tens of thousands of pounds, I may just sell up and disappear abroad somewhere out of harm's way.Comment
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Originally posted by expat View PostWhere's that then?Comment
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