Budget - Composite Companies Dead!

[Ivor1]

Depends on the legislation, but IR35 status is nothing to do with it, this is about avoiding tax artifically.

At a minimum they have already reserved the right to apply new legislation retrospectively back to Dec 2004, but depending on how they do it you might be going back 6 years.

To put that in some sort of context, at best the average contractor will be looking at a bill of around £25k...

Im looking more at the £60k plus fine and interest if applicable, do you think they will fine or just interest ?

[Xenophon]

Im looking more at the £60k plus fine and interest

You were with an MSC for that long Ivor1?

[Ivor1]

You were with an MSC for that long Ivor1?

18months would of been 12 if Natwest hadnt taken so long to set up my business account. I did put the £ away though just in case, was hoping it wouldnt come to it though.

Anyway one got a link to the consulation doc they mention I cant find it.

[To BI or not to BI?]

18months would of been 12 if Natwest hadnt taken so long to set up my business account. I did put the £ away though just in case, was hoping it wouldnt come to it though.

Anyway one got a link to the consulation doc they mention I cant find it.

http://www.contractoruk.com/news/002987.html

[GeorgeGregan]

The beginning of the end

This is not a good development for anyone.

I assume the majority of people here run limited companies and take basic measures to ensure they remain outside of IR35, so probably are not too worried about these developments. I've always felt a little more comfortable knowing that there were people using managed service companies who were blatantly taking the piss that would be higher up on Hector's radar than most ltds.

As we all know IR35 is so vague that it's been very difficult to enforce and thus not many people have fallen foul of it. I suspect this might change once the various flavours of managed service co's are shut down and there is a stampede for all their ex-clients to set up their own ltd.

[swamp]

http://www.hm-treasury.gov.uk/media/...6_chapter5.pdf

[Ivor1]

http://www.hm-treasury.gov.uk/media/...6_chapter5.pdf

Cheers but Im after this I think.

"The draft legislation and questions for consultation are set out in the consultation document Tackling Managed Service Companies, published alongside the Pre-Budget Report today."

[Pondlife]

What does "The Intermediaries legislation will remain in place for Personal Service Companies." mean?

[Dundeegeorge]

It means

if you're caught by IR35, you're still caught by IR35. (Unlucky, or more fool you, depending on circumstances).

[DimPrawn]

IR35 is here for good. Or until you muppets stop voting Labour.