Results of the public sector consultation is up

[SueEllen]

Which brings us back to the original agreement which is just employ them then!

Because then they have pension liabilities for those people for the rest of their lives AND they are harder to get rid off.

Anyone working in the public sector after April 2017 should join a union.

While departments will want to hire some people as permanent employees they won't want to hire ALL their contractors in this way.

Unions while in theory they don't support new members in legal cases if there is a chance they can make case law out of it they will support you.

[eek]

Yes I know, but I was thinking the private sector which is inevitably the next step.

Read my post again.

I bill private end client £25k + £5k VAT. In their VAT calculation for the quarter they state income £100k VAT £20k, expenditure £25k, VAT paid out £5k. So the end client pays out £15k to HMRC as the rest of the VAT is accounted for in the expenditure.

Total VAT received by HMRC £20k (£15k from end client, £5k from me).

Say the end client employes me instead. Income for quarter £100k, VAT £20k. expenditure £0k VAT paid £0k. The end client then needs to pay VAT of £20k but HMRC has received the same amount.

Total VAT received by HMRC £20k (£20k from the end client £0 from me).

As I've continually had to state for years VAT is regarded as neutral by HMRC because of the example above. You can argue that banks and gambling is different but in the scheme of VAT the amount they make from end clients unable to reclaim it is ant hill sized....

[DotasScandal]

Contractors joining an union!

Think we'll see flying pigs first

[LondonManc]

If that is their idea of a company no wonder they all think we are disguised employees

Indeed. Simone's a bit of a cheap one isn't she?

Looking at the flow chart, this could be another bit of Indian giving from central government. They'll up council budgets for them and take it back off them via contractor business NICs. Joe Public won't have a clue about it and obviously won't protest at people paying the "correct" tax if Tory's Pravda equivalent words it correctly for the red top rags. It'll just end up that the councils get an extra £20k per year and give it all back as NICs. Window dressing. What a bunch of winkers.

[eek]

Because then they have pension liabilities for those people for the rest of their lives AND they are harder to get rid off.

Anyone working in the public sector after April 2017 should join a union.

While departments will want to hire some people as permanent employees they won't want to hire ALL their contractors in this way.

Unions while in theory they don't support new members in legal cases if there is a chance they can make case law out of it they will support you.

I don't believe that will be true come April (to be honest its not true now given the tricks the unions are seeing being played as councils try to manage)...

[eek]

Contractors joining an union!

Think we'll see flying pigs first

Looks at my GMB membership card and badge.....

[seeourbee]

Why won't the "tests" apply to consultancies like KPMG then ? As far as I can see KPMG bums are sat in seats, doing daily work that a good civil servant could do if they had time and skills. So why not tax KPMG invoices as employees too ?

[SueEllen]

If that is their idea of a company no wonder they all think we are disguised employees

That's what they have been told by the agencies they use.

I've had agents presume in the past without actually looking it up the company I use had one director when it had two. They actually stated this on their systems when Companies House clearly recorded I had two directors and I got the other director to sign the contract.

[DotasScandal]

Looks at my GMB membership card and badge.....

I believe you are more clued up than average.
99% of contractors I know insist on "doing their own thing", and would rather die than actually joining forces with other contractors.
Of course, necessity my change that eventually, but do not understimate the intertia.

[DotasScandal]

Why won't the "tests" apply to consultancies like KPMG then ? As far as I can see KPMG bums are sat in seats, doing daily work that a good civil servant could do if they had time and skills. So why not tax KPMG invoices as employees too ?

Ah....
You sure you really want to go down that rabbit hole?