House of Lords review & IR35, PCG

[MPwannadecentincome]

IR35 Fit for Purpose? - Contractor Weekly


Why is this guy putting ideas into the goverment's heads - what an idiot...

If dividends were to be subject to NIC then, said Ramsden, the IR35 problem would evaporate

PCG report...

https://www.pcg.org.uk/news-events/n...lect-committee

[MPwannadecentincome]

and

He took issue with HMRC’s ‘unhelpful’ move to refer to “computer programmers” in the consultation, despite the fact that the real vulnerable workers it claims the proposals will address are likely to be lower skilled and lower paid.

...

False self-employment attack puts PSCs at risk :: Contractor UK

Axing IR35 'would save contractors £843 a year' :: Contractor UK

[Old Greg]

IR35 Fit for Purpose? - Contractor Weekly


Why is this guy putting ideas into the goverment's heads - what an idiot...



PCG report...

https://www.pcg.org.uk/news-events/n...lect-committee

Dividends don't even have to be subject to NIC. If they were income taxable for individuals in the same way as earned income (i.e. without the tax credit) then that would solve it (from a perspective). If you have 100k company profit (forgetting salary for the moment), you either pay NIC + income tax or CT + income tax or a split between them.

I really don't see why going to work should be taxed more than receiving a dividend.

[MPwannadecentincome]

Dividends don't even have to be subject to NIC. If they were income taxable for individuals in the same way as earned income (i.e. without the tax credit) then that would solve it (from a perspective). If you have 100k company profit (forgetting salary for the moment), you either pay NIC + income tax or CT + income tax or a split between them.

I really don't see why going to work should be taxed more than receiving a dividend.

That would change normal dividends received on shares traded publicly and a massive cut in income on people who invest in the stock markets.

[Clare@InTouch]

Lets just have a flat rate of tax at 15% on absolutely everything, that'll solve loads of problems. It won't be fair of course, but never mind.....

[Scruff]

I really don't see why going to work should be taxed more than receiving a dividend.

Dividends are the reward for Entrepreneurial Risk, that is why?

[Old Greg]

That would change normal dividends received on shares traded publicly and a massive cut in income on people who invest in the stock markets.

I know. It could be balanced by a decrease in taxation on earned income.

[Old Greg]

Dividends are the reward for Entrepreneurial Risk, that is why?

That is one view. Another view is that hard work should be rewarded. I know how I'd feel if I was paying PAYE, as inconvenient as that might be for us

[GB9]

Lets just have a flat rate of tax at 15% on absolutely everything, that'll solve loads of problems. It won't be fair of course, but never mind.....

The Germans nearly went for that a few years ago but chickened out due to the 'unfair' brigade.

Most evidence suggests tax take would increase as at 15% it isn't worth trying to avoid.

[VectraMan]

That would change normal dividends received on shares traded publicly and a massive cut in income on people who invest in the stock markets.

Don't do it for PLCs. Problem solved.

The tax credit on dividends is to recognise that CT has already been paid, so it works out about the same. So why not simplify it all and get rid of CT for very small companies and have owner/directors pay full income tax?

IR35 is really about NI, and that's an entirely separate issue.