Umbrellas in the firing line next

[Fandango]

But surely the supply teachers aren't any better off using an offshore Umbrella than an onshore as they'll still have to pay the Tax\NI so end up with the same in their pocket, it's really the schools doing the tax avoiding as they are going with the cheaper offshore equivalent as surely their rates will be lower than a UK umbrella as a UK umbrella will have to pay employers NI contributions no?

[LisaContractorUmbrella]

But surely the supply teachers aren't any better off using an offshore Umbrella than an onshore as they'll still have to pay the Tax\NI so end up with the same in their pocket, it's really the schools doing the tax avoiding as they are going with the cheaper offshore equivalent as surely their rates will be lower than a UK umbrella as a UK umbrella will have to pay employers NI contributions no?

I would assume that their rate will be higher as the employer's NI contribution isn't being paid

[Fandango]

So passing (a cut of ) the saved NI contributions on to the supply teacher?

[moggy]

So passing (a cut of ) the saved NI contributions on to the supply teacher?

or the agency

[lithium147]

They only mention NICs. Does that mean they are paying proper income tax?

[centurian]

While I doubt the emp's NI would be directly passed on in full, there would definately be a squeeze on either the teacher's rate, or an increase to the school.

And what about "expenses", which if gamed correctly (i.e. bordering on fraud), can make emp's NI look like lost change.

[moggy]

With the govt constantly bemoaning the fact these QC lead schemes are too many and move to fast to stop, why don't they just audit a few, get the names of the agencies and start looking into them. Within 6 months all these offshore schemes would be all but out of business.