Perm to Contracting with the same company...

[muser]

Just resigned from my perm role. Company has opened a dialogue about re-hiring me as a contractor. I have been researching about in/out IR35 and other related info.

Could someone indicate to me what pitfalls I should be aware of and how to avoid them?

I am planning to use my own ltd co.

Cheers.

[Software]

Hi,

Please use the below link:

http://forums.contractoruk.com/busin...t-company.html

Thanks.

[muser]

Hi,

Please use the below link:

http://forums.contractoruk.com/busin...t-company.html

Thanks.

Thank you!

[muser]

Ok. So I am practically Mr IR35. Are there any ways to make the best of a non-ideal situation like this?

I will keep researching but would appreciate insights from those with a lot of experience in this.


Cheers.

[DaveB]

Ok. So I am practically Mr IR35. Are there any ways to make the best of a non-ideal situation like this?

I will keep researching but would appreciate insights from those with a lot of experience in this.


Cheers.

No. IR35 was brought in specifically to deal with situations like this. The only way you will avoid it is if you get a gig with another client and come back to this one in 3-6 months. Even then your working conditions may well still land you inside if they simply intend to treat you as an employee doing the same job in the same way you did when you were permie.

Either negotiate a rate that takes account of what you will lose in income tax and NI or find a job elsewhere.

[d000hg]

Ok. So I am practically Mr IR35. Are there any ways to make the best of a non-ideal situation like this?

I will keep researching but would appreciate insights from those with a lot of experience in this.


Cheers.

Accept you're in IR35 and bill enough to make it worthwhile. Simple - no need to worry if you're caught, you know exactly what you'll have to pay in tax.