Going Permie.. what to do

[cojak]

6 years after the last contract I guess.

[northernladuk]

So how long do you keep PCG membership after closing down a company ?

http://forums.contractoruk.com/busin...y-closure.html

End of second year seems to be the rule of thumb.

Quote from Mal in that thread..

General advice is to keep your cover until the end of the second year after closure. HMRC can open an inquiry based on your personal SAR up to a year after it's submitted, which can easily be inthe tax year after the clousre. So you need cover to the end of the tax year following the closure of the company. After that, unless they find evidence of fraud, they can't open an investigation.

[TheFaQQer]

6 years after the last contract I guess.

That would be my guess and give the safest of all options. Only at the basic level, so that you get the investigation insurance but nothing that you no longer need.

[Maslins]

If the OP is thinking of making a return to contracting, do you not think that Transactions in Securities should be considered when making a decision?

Considered, perhaps, and common sense used, but probably no more. Similar conversation going on in two threads, fuller response here.

[SandyD]

I sent an email to the accountant, wonder what he thinks. I know I am maybe paranoid but wonder if the advise given would be what's best for the accountancy, not what's best for me.

[SandyD]

Oh that's a bummer about the PCG. Is the lowest cover the standard membership, that still cost £144. I was thinking I will let that one go, only recently I spent money in getting the PI insurance which was a waste of money.

Is there a cheaper IR35 insurance out there, or do I have to stick to the PCG?

[jamesbrown]

Oh that's a bummer about the PCG. Is the lowest cover the standard membership, that still cost £144. I was thinking I will let that one go, only recently I spent money in getting the PI insurance which was a waste of money.

Is there a cheaper IR35 insurance out there, or do I have to stick to the PCG?

As you may know, PCG is about much more than IR35 cover. That being said, if you only want IR35 cover, there are various options out there. IIRC QDOS have a rolling coverage on a "claims-made basis" (i.e. cover must be in place at the time of a claim) and Abbey Tax provide cover on a contract-by-contract basis.

Just out of curiosity, what is your definition of "waste of money" w/r to PI insurance? You do understand the concept of insurance, right?

[SandyD]

As you may know, PCG is about much more than IR35 cover. That being said, if you only want IR35 cover, there are various options out there. IIRC QDOS have a rolling coverage on a "claims-made basis" (i.e. cover must be in place at the time of a claim) and Abbey Tax provide cover on a contract-by-contract basis.

Just out of curiosity, what is your definition of "waste of money" w/r to PI insurance? You do understand the concept of insurance, right?

I meant it was a waste of money as I wouldn't need it any longer as I have gone permie.

Yes PCG offers a lot, but if I am going to have a non trading company or even close it, the only thing I need is an IR35 cover in case of HMRC opening an investigation.

[jamesbrown]

I meant it was a waste of money as I wouldn't need it any longer as I have gone permie.

Yes PCG offers a lot, but if I am going to have a non trading company or even close it, the only thing I need is an IR35 cover in case of HMRC opening an investigation.

Fair enough, but bear in mind that any insurance that applies on a "claims made" basis will need to be in place at the time a claim is made, generally far down the line. In practice, you probably won't save much, if anything, by switching from PCG to a bespoke IR35 cover, but "save" would be the wrong term anyway, as these two things are different animals.

[captainham]

I would agree if it was a company with promotional material and all that in the real sense of a company....but the vast majority don't tend to work like that and the closest we get to brand is the company name on clients email. Hell, most of the contractors here don't even have their company name on their linked in so it's nigh on invisible.

Most of my clients, and indeed the other contractors don't know what the companies are called so binning it and appearing with a new company won't matter a jot.

+1. The majority of us on here are, I suspect, trading off our own names/reputations; the Ltd Co is merely a necessity in order to do so.