Background. Had a call from a former client about him contracting someone to do some stuff on investment monitoring/management software for him. My former client is Very UHNWI. Probably worth more than double a max Euromillions win, if not far off! He is proposing to engage and pay the contractor (a developer) as an individual paying a ltd co. Much in the same way he pays for most things. Contract at the moment will be hourly rate. He reckons that because he is an individual even though he owns a stack of companies, the small co exemption will still come into play.
My take is that because he is so loaded HMRC will see it differently and thus come after the contractor as rules apply. If you ran it through the tool (i haven't, don't believe client has) it would probably be inside.
What are people's thoughts?
My take is that because he is so loaded HMRC will see it differently and thus come after the contractor as rules apply. If you ran it through the tool (i haven't, don't believe client has) it would probably be inside.
What are people's thoughts?
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