Sanzar

[Maslins]

It's not surprising they don't give away their secret method. If they did, and it does work then lots of other firms would start offering the same service, and if it doesn't work, those who know why not would quickly spread the word across the internet so anyone doing a Google search (or HMRC looking) would see.

I'm sure some of these schemes do enable people to get paid with minimal tax deducted, but there will be two reasons why:

1) it's really clever tax avoidance (as of course it is says on the tin) and HMRC haven't figured out a way to stop it yet, or more likely.

2) it doesn't legally work, but you don't pay any tax like they tell you to, and you get away with it for a while...in which case it's no different (except with higher admin fees) to simply being paid cash in hand for everything.

If you love risk, and very little worries you, then go for it...otherwise, I'd avoid like the plague.

[LisaContractorUmbrella]

I'll sell you some magic beans and flying pigs for £45 p/h. I'll add £20 delivery charge on top, which covers my costs as well.

Sounds like a genuine bargain Pmeswani

[pmeswani]

Yep - might join myself if all that is true. Wow! was that a pig just flown past my window

I'll sell you some magic beans and flying pigs for £45 p/h. I'll add £20 delivery charge on top, which covers my costs as well.

[LisaContractorUmbrella]

ach you are only jealous Lisa. Sounds amaaazing

Yep - might join myself if all that is true. Wow! was that a pig just flown past my window

[Torran]

From their website under section headed "How does it work":

1.You become an employee of Sanzar Solutions
2.Complete your timesheet at the end of each billing period (monthly or weekly) and forward it by email to our administration team
3.Your agency or client is invoiced
4.As money arrives in our account, we pay you. This payment is typically transferred the same day, or via BACS if your bank is not yet able to receive same day faster payments.

You will be paid through PAYE, you won't pay Sanzar any fees and you will get 85% take home even on earnings over £100,000. And it is totally compliant with UK tax law.

OK then

ach you are only jealous Lisa. Sounds amaaazing

[Fred Bloggs]

And the bits that they don't tell you are?.............

[LisaContractorUmbrella]

Maybe I should rephrase the question... 'what is the mechanism used'. I am not interested in joining, but what is the scheme structure is as it appears slightly different to the main ones used, i.e. DTA and loans.

From their website under section headed "How does it work":

1.You become an employee of Sanzar Solutions
2.Complete your timesheet at the end of each billing period (monthly or weekly) and forward it by email to our administration team
3.Your agency or client is invoiced
4.As money arrives in our account, we pay you. This payment is typically transferred the same day, or via BACS if your bank is not yet able to receive same day faster payments.

You will be paid through PAYE, you won't pay Sanzar any fees and you will get 85% take home even on earnings over £100,000. And it is totally compliant with UK tax law.

OK then

[dezze]

I think you might find it doesn't and thats why the global consensus is to stay well away from anything like this. Look at the feedback in all the other topics discussing this.

Maybe I should rephrase the question... 'what is the mechanism used'. I am not interested in joining, but what is the scheme structure is as it appears slightly different to the main ones used, i.e. DTA and loans.

[fckvwls]

I have a contractor working for me who uses this lot. He is a complete twunt but seems to have been using them for years without issue.

[northernladuk]

How does this work?

I think you might find it doesn't and thats why the global consensus is to stay well away from anything like this. Look at the feedback in all the other topics discussing this.

[dezze]

The Second portion of your 85% is received by yourself via an off shore trust in the form of a payment on account. These payments on account are resolved at the end of the tax year through execution of documentation that ensures they are non taxable.

How does this work? Does it use the DTA as MP, or some other method as it doesn't appear to involve the use of loans etc??

[scooby]

Seriously... try looking at least 2 pages in to this section and you will see this word appear in some other thread someone opened without bothering to do a search first....

Thats right, i didnt search! Thanks for your input tho...

[northernladuk]

Seriously... try looking at least 2 pages in to this section and you will see this word appear in some other thread someone opened without bothering to do a search first....

[DonkeyRhubarb]

Both of these huge benefits are being achieved through methods that are fully compliant with all UK tax legislation.

Says who? Not HMRC for sure.

This statement needs to be taken with a huge pinch of salt, since it may be based on the opinion of a single tax barrister, which could turn out to be flawed.

IMO, until a scheme like this has been tested in the courts, and found to be lawful, it is misleading to use words like "fully compliant".

I don't know whether the Sanzar scheme is the same as the other offshore arrangements from the likes of Montpelier, Steed, deGraaf et al, but if large numbers of people are exploiting the same loophole, then HMRC might be tempted at some point in the future try to attack it with retrospective legislation ala BN66.

[scooby]

anyone heard of these or the offerings? Sounds dodgy... And i've been forwarded this from someone who is interested in joining them!

sanzarsolutions

Dear xxxxx,

Further to our recent conversation, please find attached a Sanzar Solutions application pack.

Also, if you would like a financial summary of how much you can earn as a Sanzar employee, please click on the following link and input your daily/hourly rate into our online calculator.

<removed by admin>

SANZAR TAX EFFICIENT PAYMENTS

In the mean time, here is some general information about how Sanzar Solutions is able to provide you with 85% of the value of your contract after tax and national insurance with no additional fees or costs.

We at Sanzar can take you on as an employee and your agency or client is invoiced as your timesheets are submitted. Once your agency has paid for your services, Sanzar immediately pay you your 85% having deducted all tax and National Insurance.

The 85% that you receive consists of two payments. Both of these payments are received in conjunction with each other. One of these payments is your PAYE wage. This is based upon the UK national minimum wage of £5.76 per hour and you pay full Tax and NI on this wage, thereby fulfilling your legal obligations upon this wage.

The Second portion of your 85% is received by yourself via an off shore trust in the form of a payment on account. These payments on account are resolved at the end of the tax year through execution of documentation that ensures they are non taxable.

The service we offer therefore allows you to earn significantly more than you would through a conventional Umbrella company as is illustrated through our online calculator. We are also taking away the administration and IR35 burden of running a Ltd company. Both of these huge benefits are being achieved through methods that are fully compliant with all UK tax legislation.

HOW TO JOIN

In order to join Sanzar Solutions, all you need to do is fill in the attached application form and email/fax or post it back to us. We can also take applications over the telephone – it usually takes around 5 minutes to complete.

Once your application form has been received we will then forward it across to a UK umbrella Company called Umbrella Staff. Sanzar Solutions will be your employer/payroll service whilst we outsource the invoicing side of our business to Umbrella Staff who will immediately contact your agency in order to gain consent for invoicing. Once consent has been provided, we will input you onto our system in anticipation of processing your payments and will send you a welcome pack containing all necessary information. Upon receiving your application this process is most often completed within three working days!

All you then need to do as a Sanzar Solutions employee is email/fax or post your timesheets to Umbrella Staff who will immediately invoice your agency or client. Once your agency/client has paid Umbrella Staff, Sanzar Solutions will pay you on the same day.

To apply please either fill in and return the attached application form or call one of our advisors on the number below. You will also need to inform your agency that Umbrella Staff will be your Umbrella company and we will do the rest of the work!

If you have any further questions please don’t hesitate to get in touch via the numbers below!

Kindly,

xxxxx
Consultant
The Sanzar Partnership