What is everyone going to do assuming HMR&C and Osborne get their way?

[MicrosoftBob]

Turn to photography, teaching, increasing my consultancy services to small/medium and businesses in IT and marketing and help promote my girlfriends alternative fashion business

In other words anything but contracting and permiedom

[MicrosoftBob]

Are we talking about being an employee of the agency (or client)? I thought we were simply talking about having to be paid through their payroll, but retaining our lack of rights so we can still be in a X-month contract.

On that basis, your £400/day would stay the same but you'd lose much more of it?

It sounds like your reading of the proposals is you have to become an employee after a month, which I don't think is the proposed setup.

My fear is that it will mean being paid and taxed as an employee with no employee benefits and your deemed employer able to dimiss you at short notice

I.e. zero hour contracts on permie pay with less rights than a zero hours worker

[DimPrawn]

And the winner is......

[psychocandy]

You mean claim JSA and watch porn.

Hey thats my idea!

[DimPrawn]

I think whatever we choose to do, we must minimise the tax take to that vile reptile Osborne. Leave the country, retire, work in a chipshop, whatever massively reduces the tax in his grubby hands.

If the tax take goes up, they will tighten the noose even more, spurned on by its success....

[LucidDementia]

I think whatever we choose to do, we must minimise the tax take to that vile reptile Osborne. Leave the country, retire, work in a chipshop, whatever massively reduces the tax in his grubby hands.

If the tax take goes up, they will tighten the noose even more, spurned on by its success....

Again, don't panic. Nothing the man has ever done has worked yet.

[MarkT]

My fear is that it will mean being paid and taxed as an employee with no employee benefits and your deemed employer able to dimiss you at short notice

I.e. zero hour contracts on permie pay with less rights than a zero hours worker

Honestly - we won't go on payroll, it's not required. We'd go via an Umbrella of sorts and get caught by IR35.

Anyway - much as I've lost sleep about it, in reality we don't know a thing about what's going to be said. It could be nothing at all, it could be 1 month and you are done. It's going to be a bloody long week, but we just have to wait.

One thing we should remember is that HMRC are VERY bad at this stuff, they haven't ever put together workable legislation on this. Whatever they do, it will be challenged, and some way will be found to get around it in some capacity.
Also remember, everything up until the Guardian and Mail reports pointed to a bigger clawback in terms of div tax and T&S. Why put that legislation through if you are just going to pull the plug?
Whatever happens, I can't see such a huge change be made by April, more likely further consultation until Feb or March, with the big announcement in April 16 for April 17.

I think it's very likely we lose T&S next week, but that becomes moot if we aren't PSCs in April 17 anyway.

[jmo21]

My guess is we'll be forced on to an intermediary payroll (either agency or unmbrella).

Rates won't go down (maybe they will a little, but not to permie levels), but obviously our take home will be affected.

The bits I wonder about, like others, is how are the small companies affected going to be identified? Turnover? Number of employees?

[Pondlife]

My guess is we'll be forced on to an intermediary payroll (either agency or unmbrella).

Rates won't go down (maybe they will a little, but not to permie levels), but obviously our take home will.

The bits I wonder about, like others, is how are the small companies affected going to be identified? Turnover? Number of employees?

The intermediary (agency) has to report who isn't getting paid via PAYE. This is already happening.

[d000hg]

2 disabled kids, debts from my younger days and bad decisions in a past life continue to haunt me I'm afraid.

I'd make sure that house isn't made of glass by the way...

I don't bring in anything like £100k to begin with, in order that I could require it! I could just get a bog standard 30k coding job if worst came to worst, and I deliberately don't allow myself to forget that my contracting income is a massive luxury.