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Can a contract for Norwegian client contain holiday & sick pay clauses?

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    Can a contract for Norwegian client contain holiday & sick pay clauses?

    I’m looking into providing IT consultancy services from my UK LTD company to a Norwegian company. As they have no UK legal entity and have no plans to I assume this will just be a standard contracting contract. However, they are wanting to treat everyone the same and allow them to take paid holidays and paid sick leave. Obviously if this was a UK company that would not be possible but I was wondering if it was possible to have something in the contract as it’s outside the UK and EU?

    Thanks


    #2
    Originally posted by redpill View Post
    I’m looking into providing IT consultancy services from my UK LTD company to a Norwegian company. As they have no UK legal entity and have no plans to I assume this will just be a standard contracting contract. However, they are wanting to treat everyone the same and allow them to take paid holidays and paid sick leave. Obviously if this was a UK company that would not be possible but I was wondering if it was possible to have something in the contract as it’s outside the UK and EU?

    Thanks
    A contract can contain anything that is desired and both parties agree to... HTH
    They can also provide holiday and sick pay if you agree to it. So what's the problem here?

    Or have you forgotten to ask your actual question of 'can I be outside IR35?'
    The answer to that is yes, but not with holiday and sick pay. Read the first timers guide on the right. Your LTD would be responsible for the IR35 determination so make sure you understand it. When you do, you will know why sick pay and holiday pay are part of a "contract of service" and therefore employment.

    Assuming you get that covered off, you also need to understand how you treat an export of services to a non-EU country that is still in the EEA. I don't know how, but you should make sure you have an accountant who does.

    tl;dr - they want an employee, and any efforts you make to disguise that fact, are only a disguise. So disguise away but do it right.
    See You Next Tuesday

    Comment


      #3
      You’re correct, I forgot to ask whether I could still be outside IR35 but you have confirmed what I assumed. Thanks

      Comment


        #4
        Why would the OP's LTD be responsible for the determination? Has this been updated? Because last I knew HMRC were expecting to apply the same rules to non-UK client organisations as the ones in the UK. This made working for non-UK orgs attractive to me as I wouldn't fancy their chances getting a determination from the USA for example.

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          #5
          Originally posted by Peoplesoft bloke View Post
          Why would the OP's LTD be responsible for the determination? Has this been updated? Because last I knew HMRC were expecting to apply the same rules to non-UK client organisations as the ones in the UK. This made working for non-UK orgs attractive to me as I wouldn't fancy their chances getting a determination from the USA for example.
          That was reversed before the legislation was even enacted. Fully overseas supply chains = Chapter 8, BAU.

          Comment


            #6
            Originally posted by jamesbrown View Post

            That was reversed before the legislation was even enacted. Fully overseas supply chains = Chapter 8, BAU.
            Thank you - I am out of date as usual.

            Comment


              #7
              Originally posted by Lance View Post

              A contract can contain anything that is desired and both parties agree to... HTH
              They can also provide holiday and sick pay if you agree to it. So what's the problem here?

              Or have you forgotten to ask your actual question of 'can I be outside IR35?'
              The answer to that is yes, but not with holiday and sick pay. Read the first timers guide on the right. Your LTD would be responsible for the IR35 determination so make sure you understand it. When you do, you will know why sick pay and holiday pay are part of a "contract of service" and therefore employment.

              Assuming you get that covered off, you also need to understand how you treat an export of services to a non-EU country that is still in the EEA. I don't know how, but you should make sure you have an accountant who does.

              tl;dr - they want an employee, and any efforts you make to disguise that fact, are only a disguise. So disguise away but do it right.
              Hmm ... can you diguise holiday pay as retentment fee and/or bonus like a building company (bricks and mortar house and extensions)?

              Oh yeah... Many congratulations! Lucky you (redpill).

              Comment

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