Problems with contracting over 12 months?

[pzz76077]

Ask the client Co's HR department if they have cleared their stance with their legal department.

Better still, contact client Co's legal department yourself and save the poor little dears the effort of sending off an email themselves.



PZZ

[spig]

You pay your agent? I was an IT contractor for 21 years (until may this year) and in all that time the agent always paid me via my company, I never paid the agent.

I was at one client for over 6 years and was investigated for IR35 and found to be outside.

Well I don't contract direct to the clientco, so agent is getting a portion of money that could be coming to me taken from my daily rate for thier services. Several renewals means thier finding fee is long since covered, so I expect a bit of value add here. They've agreed to speak to clientco HR for me to try and sort this out.

A lot of people here do contract direct to clientco here with no agency, this may be where the problem lies. Even then they're still employed by thier own Ltd co, so my thinking is as it's a B2B relationship they're never direct employees oif clientco under any circumstances. They're called Associates rather than contractors, not sure why.

[singhr]

I agree with opinion that it is nothing to do with IR35. I have experience of HR departments not really understanding how trading through Limited Co changes the playing field so you need to educate them.

My understanding on 24 month rule is that you can't claim travel expenses from the point where you know you are going to be there beyond 24 months. It is a subtle but costly distinction from believing you have to stop claiming expenses once you get to 24 months. eg. if you have been there for 18 months and then renew for 6 months and day, you can't claim expenses from the date you renew. NB I haven't been in this situ for a couple of years so there is a chance things may have changed - best check with your accountant.

[Archangel]

Well I don't contract direct to the clientco, so agent is getting a portion of money that could be coming to me taken from my daily rate for thier services. Several renewals means thier finding fee is long since covered, so I expect a bit of value add here. They've agreed to speak to clientco HR for me to try and sort this out.

A lot of people here do contract direct to clientco here with no agency, this may be where the problem lies. Even then they're still employed by thier own Ltd co, so my thinking is as it's a B2B relationship they're never direct employees oif clientco under any circumstances. They're called Associates rather than contractors, not sure why.

Or to look at it another way, the agent won the business and pay you a substantial portion of their daily rate to you.

[shoes]

Nobody knows what the fk they're doing.

HTH