Indians working through Ltds

[Gittins Gal]

hmmm... inneresting.

I've actually noticed that a lot of the Indians working through Ltds don't work through their own Ltd but that of a "friend".

Not sure what the deal is there....

[SueEllen]

hmmm... inneresting.

I've actually noticed that a lot of the Indians working through Ltds don't work through their own Ltd but that of a "friend".

Not sure what the deal is there....

Well all Indians' look alike don't they................

People have tried this with driving tests and it works if you do your driving test(s) in the right places......

[KentPhilip]

This is exactly the point I wanted to make but emotions frothed over to rampant Daily Mail before I knew it.

Two people, same skills same experience. One is PAYE the other raking it in via the Ltd. Most here will say Mr Ltd is using his or her savvy to make extra. I don't disagree. But where is the line drawn? Perhaps you've got a banker maybe using a Ltd company with a seven figured income 'oh but the bank employs many people paying NICS' says the PC brigade. Or perhaps someone like Jeremy Clarkson, many BBC figures use a Ltd company, for what reason other than to avoid tax?

It becomes immoral using a Ltd company that pays a net income far and beyond that for a living wage, imo.

The immorality is in the government charging different tax rates for different modes of working.

[scooterscot]

The immorality is in the government charging different tax rates for different modes of working.

Well you will keep voting Tory.

[speling bee]

Well you will keep voting Tory.

Vote UKIN!

[eek]

But its the way the Inland Revenue steered the legislation with the help of the Conservatives in 1990's. They effectively made it too risky for private companies to engage self employed people as the liability for unpaid tax and NI fell to the engaging company. By vastly increasing the risk they thought they could push all self-employed staff onto companies payrolls.

Questions back to you,

1. Why didn't companies start taking on extra employees for short term projects and small bursts of work back in the 90's? Why were they willing to engage small Ltd's through agencies?
2. What is the tax difference between a self employed worker and one man Ltd company? (no EBT schemes or other offshore avoidance)
3. Taking in consideration the answer to question 2, where is the evil tax avoidance between the two schemes? or do you believe that all self employed people are tax dodgers as well?

Supplemental question, why has HMRC just persisted with IR35 and the present employment regime when it clearly doesn't work?

Sorry for the rant, but the supercilious garbage that most people churn out about contractors and contractor ltd's is completely unjustified.

Why post on something that pooperpoop doesn't understand or care about. Just throw him on your ignore list and treat him with the respect he deserves

He lives in Germany doesn't know German, has no mates and is a clueless muppet....

[speling bee]

Why post on something that pooperpoop doesn't understand or care about. Just throw him on your ignore list and treat him with the respect he deserves

He lives in Germany doesn't know German, has no mates and is a clueless muppet....

To be fair, he does a decent hotel review:

Scooterscot - Member Reviews - TripAdvisor

[eek]

To be fair, he does a decent hotel review:

Scooterscot - Member Reviews - TripAdvisor

I have a nagging doubt that those reviews weren't actually written by him (they are too well written)...

[backthemac]

You can get an idea of the number of 'IT Directors' (standard occupation code 1136), who work on client contracts here

ICT Data Dashboard - BackTheMAC


The ICT SOC In Post tab gives you the top occupations.

[tractor]

...

Well you will keep voting Tory.

FTFY

And if you remember the 70's and the legislation forcing people INTO limited companies, you wouldn't make the assumption that the ONLY reason for a single person owning one is tax avoidance. For many, it was the only way they could continue in the contstruction industry or the up and coming 'puter wizardry. The main catalyst for all that iirc was fly by night employment agents setting up in Shannon Airport for a year then running off with bazillions of £'s in PAYE and NI deductions and contributions.