Going self employed

marksoton

They have changed slightly, there was a shake up of CIS4 a couple of years ago that got people worried. The employer just arranged for a third party to pay the going rate though.

LTD companies do have ways round it,one engineer i have on site has done work exclusively for us for 3 years.

pd001

marksoton wrote: »

They have changed slightly, there was a shake up of CIS4 a couple of years ago that got people worried. The employer just arranged for a third party to pay the going rate though.

LTD companies do have ways round it,one engineer i have on site has done work exclusively for us for 3 years.

How does that work then?

marksoton

pd001 wrote: »

How does that work then?

Well i am pretty sure the tests would be similar to those mentioned by soubrette. Like i say there are legitimate ways round it ( the bloke we have works through an agency ). The construction industry has been like this for decades.

I have been told by some blokes about an older system ( SC60 i think ) where it was just ridiculous. People were claiming back tens of thousands of pounds in rebates !

Funnily enough HMRC pulled the plug on it

Soubrette

My ex is a computer contractor so a different area to the building trade but the way we 'got' round it was firstly ensuring that the contract was one of services - based on billable projects rather than just for payment for time. A good substitution clause, use of own laptop where appropriate etc - basically trying to fulful as many of the 'tests' as feasible.

Things were made more complicated as IR35 allowed different contracts to be examined and some may and may not be deemed as coming under those rules.

I think the main thing was keeping your head down and not acting in a suspicious way to HMRC

Sou

marksoton

Soubrette wrote: »

I think the main thing was keeping your head down and not acting in a suspicious way to HMRC

Sou

I agree, however that can be said about all dealings with HMRC ! Don't take the proverbial