P35. Question 6. Service Company

[moorfield]

Have a look at this thread on this question I posted last spring.

[Archangel]

In this case isn't the agency your client?

Not according to HMRC when deciding whether IR35 applies. Otherwise everyone would be outside.

[Sausage Surprise]

I shall be advising No and No

[Nixon Williams]

And for Mr Nixon Williams: why do you ask for copy bank statements and expenses from the beginning of the year when you get them every month. Just easier for you guys to have them all in one envelope/email or something else..?

I think you must have mis-read the request. We only need copies of statements etc once, this is a reminder to send your up to date details in.

So to clarify - if you have already sent copies there is no need to send it again.

Alan

[Fred Bloggs]

PCG promote the use of umbrella companies? How?

A long time since I visited their website but unless I'm very mistaken the last time I went there, they offered a brolly.

[maxima]

thank you Moorfield.

is it still sensible - if I have RoS than I can answer N/N ?

[BolshieBastard]

I am one-man Ltd. My accountant (NW) insisting I answer Question 6 as Yes in first part.

From my point of view - this is just a trick from IR to get all contractors legally shortlisted. Next year they will roll out massive attack to get money from them with very little hassle.

My question - is there any legal way to answer No on the question 6?

What is the penalty to answer No not having legal foundation to do so and be caught in future?

Just leave it blank and dont answer it. As Alexander says, 'simples'!

The advice I got was "HMRC charge penalties for incorrect returns only where there is a tax consequence arising out of an incorrect return. Whether the box is ticked or not does not in itself produce a penalty since it does not alter the tax self assessed on the return.

Any “Revenue Directive” is not particularly a directive and has been presented as a “clarification”. What HMRCy basically said was that if the box is ticked then the likelihood of an enquiry being made into that return is significantly increased, in other words they are unable to identify IR35 type companies so they would like us to do it for them."

This is from the Inst Chartered Accountants.

[max]

b) PCG have a vested interest in KEEPING IR35, they promote the use of Umbrella Co's.

They suggest that contractors that don't want to go down the Ltd co path, should use umbrella co's.

A long time since I visited their website but unless I'm very mistaken the last time I went there, they offered a brolly.

They don't "offer" a brolly. They suggest a brolly that won't fall foul of the UK's tax laws.

Do you think that is the wrong thing to do?

[Epiphone]

I think you must have mis-read the request. We only need copies of statements etc once, this is a reminder to send your up to date details in.

So to clarify - if you have already sent copies there is no need to send it again.

Alan

Not according to the hand written note in this months pay advice. I'll phone in.

cheers

[Nixon Williams]

Not according to the hand written note in this months pay advice. I'll phone in.

cheers

If it is a hand written note, it is possibly because we have some details missing but without knowing who you are I cannot check.

Please do call the office or email me and I will look into it.

Alan