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Contracting for a Canadian company... self-employed vs Ltd vs Umbrella

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    #11
    I live in Switzerland and work remotely for a UK company with no Swiss presence. I invoice them without (the local equivalent) of VAT, through my Swiss ltd company. When I travel on their behalf, I add the costs of travel and subsistence to the invoice. The UK tax authorities are not involved; all tax matters are entirely Swiss.

    This seems to be pretty much your scenario, substituting UK for Swiss and Canada for UK.

    In your case, I would set up as a ltd co in the UK, as this gives you the added protection of limited liability - something not to be knocked. With the working arrangements you describe, IR35 is extremely unlikely, in my opinion, to matter a jot. An umbrella company would be a waste of money. As you are supplying services offshore, to a non-EU company, you won't be adding VAT to your invoices. However, your turnover may mean you should be vat registered. I'd go for it anyway, as without VAT registration, you can't claim VAT back on your office purchases.
    Down with racism. Long live miscegenation!

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