Ltd vs Umbrella

[malvolio]

I wasnt sure if it was legal... im guessing not now!! thats the calculations they sent me. I think because they pay you in irredeemable debt its not taxable so the 10k plus the approx 4k (tax and ni on the nominal salary). Hence 14k is all you pay and youy see the rest.

I have an Australian collegue at work who uses their services but im guessing seeing as he's only here for a few months he can get away with it?

I suggest you read the Red Book that backs up the last budget very carefully indeed. Look for the thing about misuse of mutual taxation treaties. Then go check your savings, because you may be needing them.

Also, of course, have you been told that "irredeemable" loans have this interesting treatment in UK taxation law such that when you stop the daisy chain you will be liable for the accrued tax on the notional income you have been receiving?

Then again I'm not an accountant. I suggest you talk to a good one, quickly.

[deleted0975123]

test

[Ardesco]

I am an accontant !!! ive not started contracting jst yet i was only considering the different possibilities for when i eventally start... i thought the whole irredeemable debt sounded dodgy, glad to hear it is illegal.

if anyone needs help on ir35 try this link

http://www.helpaccountants.co.uk/rec...tions_page.htm

If you are an accountant why on earth are you not running your own LTD?