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IR35 and expenses

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    #21
    Perhaps you should invest in some taxation training then...
    Blog? What blog...?

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      #22
      Your not quite getting it!

      If you pay PAYE/NI through Joe Bloggs Ltd (which is what you said) then there is no problem with IR35. If the training costs are paid for by Joe Bloggs Ltd then there is no issue unless it is a benefit in kind and it won't be.

      IR35 won't be a problem because you have made NO tax/NI savings because Joe Bloggs Ltd has paid you a salary.

      It is as simple as that.

      However, it would have cost your more money because rather than saving tax/ni via the dividend route in your own company you now have paid the full amount of tax/ni for the sake of getting tax relief on the training costs. Your letting the tax tail wag the dog!

      However, if the contract is subject to IR35 anyway then using Joe Bloggs Ltd would be fine (becuase you would have to pay the tax/ni under IR35).

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