UK Government Petition re contractors/coronavirus

[Old Greg]

There should be a self-funding scheme, where COVID-19 distressed honest contractors inform on bent dodgy scheme contractors and get 50% of the tax take.

[ladymuck]

I get that there are some people who are not earning loads but have still set up as Limited Companies and opted to take dividends with minimal salary.

Dividends are a return on investment. As Scooty likes to remind us, investments go down as well as up and your capital is at risk. You lose sight of that at your own risk.

A dividend from a company you own is no different to a dividend you'd receive from any company that has shareholders. If you're an EasyJet shareholder, you got a payout. However if you're a Stagecoach shareholder would you now be expecting HMG to compensate you for the lack of dividend?

Should I put in a claim for the dividends that won't now be paid into my pension where funds were invested in companies that cancelled dividend payments?

[Andy Hallett]

Can't take the smooth without the rough - not signing. We get compensated for uncertainty.

This, this and this again.

You are running a business. If your business is not viable, get a job.

[vwdan]

What are people wanting here? The government will already cover 80% of a PAYE salary, even for Ltd Co directors. That's pretty damn generous.

Now, of course, we've all been paying ourselves Dividends. Why? Because they attract a lower rate of tax. Why? Because they're a reward for taking on risk.

All this is is ammunition against dividends.

This is the real side of those conversations we've all had with permies where we explain the lack of benefits or protection, in return for our tax savings. This is why I was able to claim expenses for working in the office, when they weren't. This is the rough to go with the smooth.

Now, yeah, it's a pretty insane situation and the government has taken some crazy measures. But bear in mind that employees have no "right" to be furloughed, they can still be let go, can still be made redundant and zero hours types can still be sent home. There are no special privileges for employees, the scheme goes to employers.

[CheeseSlice]

Its not actually for contractors specifically.

Its worded better than similar petitions that have called for dividends to be shored up. This one simply asks for something similar to SEISS. However as they've mentioned 'shareholders' for some reason, so it fails my test.

I don't know why everyone is so against one-man band LTD company directors having equivalent support. Seems to be an "I'm alright Jack" attitude on these threads that is really unhelpful. There are other professions and trades than contracting that operate using a one-man LTD company, and many of them will be not be trading currently and wont have earned £500 or 600 p/day to build up enormous warchests. It does need to be sorted out IMO.

IPSE are still trying to get something arranged, and talking directly to HMT according to the last webcast.

[WordIsBond]

What a bad idea.

Far better would be a petition that, since limited company contractors don't receive the same employment benefits or the same government coronavirus support that employees have, they shouldn't be taxed the same as employees even if they do similar work.

I'd sign that.

[jamesbrown]

If I could subtract one vote from it, I would

[PerfectStorm]

Can't take the smooth without the rough - not signing. We get compensated for uncertainty.

[ladymuck]

That's what we need, more petitions.

[super]

There is a UK Government / Parliament Petition re providing a financial support package to small Ltd Co directors/shareholders:

Coronavirus Support Package for Directors / Shareholders of small Limited Co's. - Petitions

Only got 16,000 signatures and only getting 200 more per hour.

Am sure a few more wouldn't hurt.

Haven't seen PCG/IPSE promote this.