PCG and QDOS IR35 coverage

[psychocandy]

But if you close your company down there's only a limited period in which HMRC can open an enquiry, so you'd only need it for a short time.

Of course. How long?

One question that remains outstanding though. If you get QDOS TLC35, then you have to go to QDOS first in the event of any contact from HMRC? Is this correct?

Just thinking of people who are PCG members and have this QDOS insurance. In this case, you couldn't go to PCG first because this would make your QDOS cover invalid (in the unlikely event you lost).

[malvolio]

Of course. How long?

One question that remains outstanding though. If you get QDOS TLC35, then you have to go to QDOS first in the event of any contact from HMRC? Is this correct?

Just thinking of people who are PCG members and have this QDOS insurance. In this case, you couldn't go to PCG first because this would make your QDOS cover invalid (in the unlikely event you lost).

How long? The end of the first full tax year after you close your company. HMRC will want to see your last SAR. So standard advice is two financial years from closure.

And if you insure the saem thing twice, the insurance companies will have their own discussion about who takes it forward. I doubt you'll have any input. Also don't forget that PCG Plus is not an insurance, only the Survive35 bit is. You may find you have cover for the nvestigation and still no cover if you lose.

[psychocandy]

How long? The end of the first full tax year after you close your company. HMRC will want to see your last SAR. So standard advice is two financial years from closure.

And if you insure the saem thing twice, the insurance companies will have their own discussion about who takes it forward. I doubt you'll have any input. Also don't forget that PCG Plus is not an insurance, only the Survive35 bit is. You may find you have cover for the nvestigation and still no cover if you lose.

QDOS are adamant that any contact from HMRC must go through them and them only. If you go to PCG first, it will be invalid.

Thats my understanding anyway.

[malvolio]

QDOS are adamant that any contact from HMRC must go through them and them only. If you go to PCG first, it will be invalid.

Thats my understanding anyway.

Well that makes things simple then. Stick with the PCG

[Qdos Contractor]

The insurance policy is designed around our own experience and expertise. The underwriters are happy to cover the IR35 liabilities because they know we'll be handling the case. The only exception is if you are using Bauer & Cottrell, who we have a long-standing relationship with.

We will cover any costs of your accountant gathering information etc. in the event of an enquiry.

[captainham]

Well that makes things simple then. Stick with the PCG

I'm actually the opposite on this. As QDOS covers everything (enquiries+taxes/penalties, etc), whereas PCG only covers the investigation part, I'd rather be covered for the whole lot rather than just part...

[Fandango]

So am i correct in thinking that QDOS TLC35 will cover all previous contracts as well? (presuming you meet their criteria in the questionairre you mentioned?)

I've been looking through their website & the policy documentation but i'm not totally clear (i plan to call them anyway but thought i'd ask incase anyone knew already)

The website says

TLC35 includes:

1. Full Qdos representation in the event of:
•A PAYE compliance review
•An IR35 dispute
•A PAYE/NIC dispute
•A VAT dispute
•Any HMRC aspect enquiry
•Any HMRC full enquiry

2. IR35 tax/NIC liabilities up to £50,000, £75,000 or £100,000

3. Interest

4. Penalties

5. Backdated tax years fully covered

The insurance is run on a 'claims made' basis. This means that the policy will cover claims which arise and are notified to our claims department whilst cover is in force. Retrospective tax years are insured.

[SueEllen]

I'm actually the opposite on this. As QDOS covers everything (enquiries+taxes/penalties, etc), whereas PCG only covers the investigation part, I'd rather be covered for the whole lot rather than just part...

Both the PCG and QDOS don't expect to lose.

They just have different marketing to cover the same thing.

After all why would you cover some ones penalties and back taxes which could run into a hell of a lot of money if you think you are likely to lose the case?

[malvolio]

Both the PCG and QDOS don't expect to lose.

They just have different marketing to cover the same thing.

After all why would you cover some ones penalties and back taxes which could run into a hell of a lot of money if you think you are likely to lose the case?

Which is what I've been saying all along.

However, IR35 is applied to individual contracts - which is a big part of the problem with it - so covering back contracts may ot be all that feasible.

[Qdos Contractor]

So am i correct in thinking that QDOS TLC35 will cover all previous contracts as well? (presuming you meet their criteria in the questionairre you mentioned?)

Yes, all previous contracts are covered providing they were all done through the same limited company.