Choice Premier - Foreign Loan Scheme...

[scotty]

Am new to all this so apologies in advance if you heard all this before and are bored of the question.

Contracting is new to me and am looking to obtain my first contract, I am looking at the usual options of whether to be Ltd etc.........i saw a company called Choice Premier advertising good returns on your income. A little too good to be true......was just wondering if anyone had any thoughts on this route?

I know little to nothing about all this so will be getting advice from an accountant before jumping in but thought I may as well see if anyone had any thoughts or experience with them on here first?

Any help/advice would be much appreciated.

[NotAllThere]

I've changed the title so everyone can see that nature of the scheme.

[malvolio]

I refer the learned gentleman to my earlier reply to a similar question, http://forums.contractoruk.com/accou...ml#post1410802

However since you currently know f*** all about contracting, why do you think it's a clever idea to do anything other than use tried and trusted solutions? They're tried and trusted for a reason.

Go limited until you know what you're doing. Then if you want to risk a six-figure tax demand, go right ahead.

[northernladuk]

I refer the learned gentleman to my earlier reply to a similar question, http://forums.contractoruk.com/accou...ml#post1410802

However since you currently know f*** all about contracting, why do you think it's a clever idea to do anything other than use tried and trusted solutions? They're tried and trusted for a reason.

Go Umbrella until you know what you're doing. Then if you want to risk a six-figure tax demand, go right ahead.

FTFY

[scotty]

Thanks for your rather rude advice Malvolio!!!........ ;-)......we cant all know everything like your goodself.

I dont seem to recall anywhere where i said it would be clever to do so, infact i think it was clever of me to seek advice from people that have been around doing this for a number of years......it is all new to me so anyone with constructive advice please?..............as opposed to someone just jumping down my throat with foul language.

[NotAllThere]

What foul language?

Anyway, this is a frequently asked question, and so is likely to attract less than friendly answers. Welcome to the forums.

[geoff from contracta IOM]

Don't mind them they're mostly cuddly really. There is a sticky on the subject on the A / L page and numerous threads on this topic. If you read them and have any specific questions that have not been covered then myself and i'm sure others will be only to happy to help.

[ASB]

Thanks for your rather rude advice Malvolio!!!........ ;-)......we cant all know everything like your goodself.

I dont seem to recall anywhere where i said it would be clever to do so, infact i think it was clever of me to seek advice from people that have been around doing this for a number of years......it is all new to me so anyone with constructive advice please?..............as opposed to someone just jumping down my throat with foul language.

Try the following in google (or our very own search) "foreign loan /site:contractoruk.com"

This link might even work.

Google

If you review some of the results you will find a large variety of opinions, HMRC have some specific guidance about how loans in foreign currency should be taxed. I am not saying they don't work, the devil will always be in the detail. But if you do use one and it eventually gets challenged it is ultimately down to you to prove it works or face the consequences (generally a large bill).

In terms of the "sounds too good to be true" comment; probably. If it were quite so simple, straiaht forward and secure don't you think everybody would be doing it. All depends on your personal appetite for risk.

[BlasterBates]

Just stick with a Ltd. Offshore schemes come with a massive risk. In 5 or 10 years you might be married with a nice house and one day the tax man might come up with a demand for several hundred grand. That could signal the end of your marriage and the nice house.

[malvolio]

Thanks for your rather rude advice Malvolio!!!........ ;-)......we cant all know everything like your goodself.

I dont seem to recall anywhere where i said it would be clever to do so, infact i think it was clever of me to seek advice from people that have been around doing this for a number of years......it is all new to me so anyone with constructive advice please?..............as opposed to someone just jumping down my throat with foul language.

Don't sweat it, I'm rude to everyone. Just ask the regulars. If you can't cope with it (and some can't), you're in the wrong trade. But the thing is, there was an almost identical post to yours from earlier today in this same thread, and a couple more in the last week. Just occasionally we react rather than answer.

As Geoff points out, do some reading then come back with sensible questions. Then you get good, useful answers.