Was: New forum posting rules Now:PC explains JSA

[psychocandy]

Can you prove that?

I could if ever asked to do so by a court of law. After all, all dividends are declared with the paperwork involved.

Not available for you lot though - you can believe me or not. I dont care.

[mudskipper]

Thats personal decision whether to claim or not or deem whether you are worthy of claiming. Totally up to you. We're all going to disagree on this.

My PERSONAL OPINION is if I pay tax and its legal, I can claim it. Others may disagree.

Actually it's based on NI. Do you pay NI?

But no-one is disagreeing that you are allowed to claim if it's legal, are they?

[LondonManc]

Ah if I'd been removed then this would have been a fair point.

I wish I'd taken a screen shot and I've forgotten exactly what it said but basically it was calling me a benefit scrounging scumbag.

Not appropriate behaviour. Its like changing your mates background image in windows to display a huge cock.

That's your term for banning?

[teapot418]

Interesting point here:

Jobseekers Allowance - Brookson Ltd

"You need to bear in mind when considering claiming JSA the possible impact on your entitlement to expenses from your limited company. HMRC rules state that contractors are entitled to claim tax-free travel and subsistence to their main site providing certain conditions are met. These conditions are based on a long-term commitment to contracting and an ‘overarching’ contract with your limited company. By contrast, where an individual merely has a series of fixed term assignments through a number of different vehicles, HMRC can seek to refuse the tax-free treatment.

It is recommended that you don’t ‘regularly’ claim job seekers allowance between each assignment. This will increase the risk of challenge by HMRC due to starting and stopping contracts and losing the tax relief on these expenses. The legislation is very unclear but this risk should be considered before making any claim."

So if you claim JSA, you're going to be hard pushed to claim there's an overarching contract. I would be surprised if the benefits of claiming JSA outweighed the ability to claim T&S.

[Old Greg]

I could if ever asked to do so by a court of law. After all, all dividends are declared with the paperwork involved.

Not available for you lot though - you can believe me or not. I dont care.

If you don't care, then why did you post:

Nope. All dividends were paid out from the company before I became jobless. All that was in the company account was VAT and CT money (and not over £16K).

[LondonManc]

Interesting point here:

Jobseekers Allowance - Brookson Ltd

"You need to bear in mind when considering claiming JSA the possible impact on your entitlement to expenses from your limited company. HMRC rules state that contractors are entitled to claim tax-free travel and subsistence to their main site providing certain conditions are met. These conditions are based on a long-term commitment to contracting and an ‘overarching’ contract with your limited company. By contrast, where an individual merely has a series of fixed term assignments through a number of different vehicles, HMRC can seek to refuse the tax-free treatment.

It is recommended that you don’t ‘regularly’ claim job seekers allowance between each assignment. This will increase the risk of challenge by HMRC due to starting and stopping contracts and losing the tax relief on these expenses. The legislation is very unclear but this risk should be considered before making any claim."

So if you claim JSA, you're going to be hard pushed to claim there's an overarching contract. I would be surprised if the benefits of claiming JSA outweighed the ability to claim T&S.

Post of the Year or Can of Worms opened?

Can't wait.

[northernladuk]

Post of the Year or Can of Worms opened?

Can't wait.

KUATB of the year you mean....

and discussed in posts following...

[teapot418]

KUATB of the year you mean....

and discussed in posts following...

I should have done a search.

[teapot418]

OK, so it makes sense that contractors can claim expenses because there is an overarching contract of employment that means each workplace is considered temporary. That's what all the current T&S fuss is about.

Contractors' Questions: What’s an overarching contract of employment? :: Contractor UK

"How to know if your contract of employment is overarching

In order for a contract to be considered overarching there must be mutuality of obligation over the duration of the employment, even in the gaps between assignments.

HMRC believes that the correct legal position is set out in the case Clark v Oxfordshire Health Authority, during which Sir Christopher Slade said:

“I would, for my part, accept that the mutual obligations required to found a global contract of employment need not necessarily and in every case consist of obligations to provide and perform work. To take one obvious example, an obligation by the one party to accept and do work if offered and an obligation on the other party to pay a retainer during such periods as work was not offered would in my opinion, be likely to suffice.”

Therefore, if your contract does NOT state that you will be entitled to a regular salary during the course of your employment, and not just when you are on assignment, it will NOT be considered as overarching, and you will have NO entitlement to tax relief on expenses."

It does sound on the face of it like claiming JSA would invalidate the claim to have an overarching contract. I wouldn't risk it, unless I was properly skint.

[WTFH]

I should have done a search.

Bet you didn't ask your accountant either.