So, just got a sales call from a company calling themselves "umbrella choice", based in Exeter/Devon.
When they claimed to be able to better my take home over a limited company model, I asked them about what sort of mechanism they employ.
They said that it's a "grant" based model, which apparently is different to loans as loans have an expectation of repayment attached. But the basic model is the same, your business makes a B2B payment to a company, the sole purpose of which, is to redirect it to your personal account for tax avoidance purposes.
Apart from giving the salesperson a long talk about HMRC guidelines on tax avoidance, and the ethics of trying to sell something which has short term allure but is essentially a time bomb, I also advised him to look for a different job elsewhere, because HMRC are also going after people who promote/sell such avoidance schemes.
Please be aware of particularly this company, but also about the new "grant" based model which is making it's rounds. As usual, don't fall for it, and remember, if it's too good to be true, it usually is.
When they claimed to be able to better my take home over a limited company model, I asked them about what sort of mechanism they employ.
They said that it's a "grant" based model, which apparently is different to loans as loans have an expectation of repayment attached. But the basic model is the same, your business makes a B2B payment to a company, the sole purpose of which, is to redirect it to your personal account for tax avoidance purposes.
Apart from giving the salesperson a long talk about HMRC guidelines on tax avoidance, and the ethics of trying to sell something which has short term allure but is essentially a time bomb, I also advised him to look for a different job elsewhere, because HMRC are also going after people who promote/sell such avoidance schemes.
Please be aware of particularly this company, but also about the new "grant" based model which is making it's rounds. As usual, don't fall for it, and remember, if it's too good to be true, it usually is.
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