Reply to: Permanent To Contracting with Same company but different client - Urgent help needed

[northernladuk]

Like this one?

that and many more. I also had a stray in to the benefits sections as well. Not a good move.

[stek]

That's the one. I should have voted this as thread of the year in the recent survey.

EDIT : Meh, browsed a couple of threads and got my blood boiling now. I knew I shouldn't have.

Like this one?

With dividends and salary payments, does it look odd that i withdrew random amounts from the company at random dates?.
i have not spoken to the accountant about this yet, but would like any opinions whether it looks normal to withdraw large dividends and salary for a few months consecutively and then none for like 8 months?

As i was unaware i will be applying for a visa my bank accounts are in a right mess, i withdrew random amounts (like over £10k) at a time in a few consecutive months then i didnt withdraw any money from the company accounts for over 8 months.

Would this look odd to the ECO or does everybody do this?

[northernladuk]

Apparently it was this: Re: Limited company director do I need to pay tax? : Indefinite Leave to Remain • Immigrationboards.com

That's the one. I should have voted this as thread of the year in the recent survey.

EDIT : Meh, browsed a couple of threads and got my blood boiling now. I knew I shouldn't have.

[Old Greg]

They have a poster called Wanderer? Coincidence or one and the same?

I would have a post on there but someone used my name and got me banned! I think it was that forum.

Apparently it was this: Re: Limited company director do I need to pay tax? : Indefinite Leave to Remain • Immigrationboards.com

[Ticktock]

Apparently,

You have been permanently banned from this board.

Please contact the Board Administrator for more information.

A ban has been issued on your IP address.

As I'm going via a proxy server at clientco, I'm guessing someone here was naughty in the past

[Bunk]

Most probably? You mean absolutely. Hard to argue when the title of the rule matches your situation exactly.

Nah, he's getting around the Friday to Monday rule by finishing on a Monday and starting on a Tuesday

Clever innit?

[eek]

They have a poster called Wanderer? Coincidence or one and the same?

I would have a post on there but someone used my name and got me banned! I think it was that forum.

Least you can access the site. The clientco IP address is banned....

[northernladuk]

Permanent To Contracting with Same company but different cli : Employment offers and job seekers • Immigrationboards.com

They have a poster called Wanderer? Coincidence or one and the same?

I would have a post on there but someone used my name and got me banned! I think it was that forum.

[stek]

Post the link. Would love to see the responses to that although I am thinking my blood pressure won't.

Permanent To Contracting with Same company but different cli : Employment offers and job seekers • Immigrationboards.com

[northernladuk]

This was posted on immigrationboards too

Post the link. Would love to see the responses to that although I am thinking my blood pressure won't.

[TykeMerc]

1. No debate IR35 catches this, it's Fri-Mon classic. IR35 is poorly worded legislation, but it was set up for exactly this scenario.

2. Nope.

3. IR35 insurances do exist, but no way you can get it and have a hope in hell of claiming, unless you lie of course and that's fraud.

4. IR35 is meaningless in Umbrella terms as you're paid purely by salary as an Umbrella employee which is what IR35 makes you do anyway.

5. Nope same thing

It's pretty obvious that your employer wants to have their cake and eat it, if you agree to resign and contract back they get rid of an employee from their books, get the skill back for a lot less cost, no liabilities and they can dump you with 0 effort when this project ends, they win, you lose.

You would be foolish to resign as you lose any employee benefits and it costs them nothing to get shot of you.

[stek]

This was posted on immigrationboards too

[TheCyclingProgrammer]

I'm generally of the opinion that most scenarios can be taken outside IR35 with the right contract and working practices, regardless of the history, but from what you describe it sounds like you'd be caught unless you could really nail the contract and working practices.

The former is easy enough if the consultancy is flexible and you can get it reviewed but the working practices will always be key. It sounds like the consultancy want the same resource (you) but without the expense of you being a permanent employee. They are likely to continue treating as a permanent employee so getting your working practices outside of IR35 is going to prove hard.

Forget the end client...your "role" is as a resource for the consultancy. They choose which client you go and work for and they likely have a degree of control over how and when you perform the work.

Think about why they would ask you to do this. They no longer need to pay you a fixed £70k salary, they no longer need to pay you when your benched. You're taking on all the risk and they are taking on none. They get a cheaper resource to flog to their clients, you lose all of your security.

I would politely decline their offer however if there is no option, then you need to look at working through an umbrella IMO.

[Taita]

Most probably? You mean absolutely. Hard to argue when the title of the rule matches your situation exactly. It doesn't help at all. It's how you are taxed, as a contractor or a disguised perm. Doesn't really matter about the work.



In this case I would say none.



Won't be too hard to find the website and read up on them. QDOS does TLC35. Go to their website and have a look.



It will make all the difference. IR35 doesn't apply to umbrellas as you are employed by them.



Jesus..



You don't have a scooby what is going on here so do not sign anything until you fully understand it. This can get extremely expensive for you if it goes wrong so isn't something to be taken lightly at all. If they want you they will wait until you get sorted properly. Don't let them strong arm you in to signing anything until you are read.

I would say your best bet here is to go Umbrella for awhile until you get an idea of how it all works.

The last line is your best option if you are in a hurry. More expensive month to month but I think you then can switch to your own company later (subject to professional advice) once you are confident in your tenure.

[Old Greg]

Forgetting IR35 and all the ins and outs of contracting for a minute.......

How do you know that after a week/month/whatever, they won't just terminate your contract?

For us 'normal' contractors that's just part of every day contracting, but in your case are you prepared for that?

And have you not wondered why they want you to move from perm to contract?

Maybe they want rid of you without paying redundancy.

Also £450 pd from 70k looks low to me.