Any reason not to take a permie job at current client?

[neilh111]

Sorry this has probably been done to death, but I got offered what sounds like will be a senior and reasonably lucrative permie job at my current client, and I'm considering whether to take it or not.

Are there any reasons why this would be a bad idea from a tax / IR35 perspective?

Also I have reviewed my agent's contract for restrictions - there is one saying "the consultancy" can't provide services to the client via other organisations for a period of 6 months. I take "the consultancy" to mean the Ltd company, which would not be providing services if I was entering into a contract of employment, and thus my reading is that there is no issue.

Has anyone seen a clause like this, gone permie, and had any problems as a result?

Thanks in advance for any advice.

[oracleslave]

I'd be amazed if the agent doesn't have additional clauses in the contract, either in the contract with your limited company and in the upper contract with the client specifying a "finders fee" of some sort should you enter into a business relationship with the client in any form that removes their income stream.

[northernladuk]

Did you opt in or out at time of taking the contract and what does your contract say.

Is the new role doing something connected to what you are doing now?

[Wanderer]

I'd be amazed if the agent doesn't have additional clauses in the contract, either in the contract with your limited company and in the upper contract with the client specifying a "finders fee" of some sort should you enter into a business relationship with the client in any form that removes their income stream.

They will do, but it's in their contract with the client not the contractor.

[bobspud]

Doesn't matter about what the contract says, it's the end client breaking it, and they will either pay the agent or warn them to wind their neck in. So do your maths and decide what you want to do.

[ELBBUBKUNPS]

If the permie role offer is doing the same thing you contracted for Im pretty sure you might have to accept your time as a contractor there actually failed IR35. If it were me and permy role was same as contract I wouldnt accept it..

[kingcook]

Sorry this has probably been done to death, but I got offered what sounds like will be a senior and reasonably lucrative permie job at my current client, and I'm considering whether to take it or not.

Are there any reasons why this would be a bad idea from a tax / IR35 perspective?

Yes, it's very bad - you'll be paying tax

[quackhandle]

Yes, it's very bad - you'll be paying tax

qh

[eek]

qh

I don't think kingcook is clear enough here. If the permie job is the same as your previous contract role then you would be very hard pushed to pretend that you weren't under IR35 for the entirety of that contract period.

So work out how much tax you saved by pretending you weren't under IR35 and start saving

This is not an issue if you are were working under an umbrella otherwise think very carefully.

[BolshieBastard]

Doesn't matter about what the contract says, it's the end client breaking it, and they will either pay the agent or warn them to wind their neck in. So do your maths and decide what you want to do.

WBSS.

The client should take all \ any flak over this not the contractor. If the OP does decide to take up the offer, he must make it clear to the client that it is wholly their responsibility to square this with the agency and in no way, should he, the contractor or his ltd, get drawn into discussions about fees or handcuffs etc.

My last client asked me to go permie but I politely declined as I've done my (22 year) stint.