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Can't claim JSA because I haven't paid Class 1 NI!!!

1246

Comments

  • princessdon
    princessdon Posts: 6,902 Forumite
    edited 3 April at 1:58PM
    [quote=[Deleted User];62588969]Quite legally I might add. I don't make the laws.

    Tax avoidance is perfectly legal and is completely different to tax evasion.

    Would you rather I chose not to work at all like a lot of people on benefits? At least this way I pay a lot of tax.[/QUOTE]

    No you pay very liittle tax and also risk an IR35 investigation (which you know), but its legal apart from an IR35 investigation and most if not all contractors I know do the same. We preferred to pay taxes via a brolly and therefore pay all tax and NI, but mainly due to it being short term (though lasted longer, the intention was short term).

    In short it's legal but not moral and if my OH contracts again, I'd do the same next time round.
  • No you pay very liittle tax and also risk an IR35 investigation (which you know), but its legal apart from an IR35 investigation and most if not all contractors I know do the same. We preferred to pay taxes via a brolly and therefore pay all tax and NI, but mainly due to it being short term (though lasted longer, the intention was short term).

    In short it's legal but not moral and if my OH contracts again, I'd do the same next time round.

    Yes, all contractors should know out IR35 of course.

    Moral? Don't see where that comes into it. I don't make the laws. Everything I do is legal, transparent etc. I'm certainly not going to volunteer to pay more tax just for the sake of it.

    I would suggest that 99.999% of people in PAYE jobs would say yes ok if they're employer suggested that maybe they could LEGALLY pay less tax.
  • Dunroamin
    Dunroamin Posts: 16,908 Forumite
    edited 3 April at 1:58PM
    [quote=[Deleted User];62588981]Its not a fiddle if its all legal. I can assure you all my dealings are completely legal.[/QUOTE]

    Being legal doesn't mean that you're not fiddling the system, whether you're "maximising" benefits or "minimising" tax.
  • Dunroamin wrote: »
    Being legal doesn't mean that you're not fiddling the system, whether you're "maximising" benefits or "minimising" tax.

    I disagree. If the system is wrong then it should be changed and thats it.

    If they changed the law to say that tax rate was being cut to 10% would you volunteer to pay more? I doubt it.

    Its all well and good taking the moral high ground but I very much doubt if you were in the same circumstance you wouldn't do the same.
  • notanewuser
    notanewuser Posts: 8,499 Forumite
    We pay a lot less tax than we would if purely on PAYE.

    However, we have never, and would never expect to be able to claim benefits as well!!

    Mind you, DH is in such demand he sometimes had contracts running concurrently. We have sufficient savings should we ever need them, to cover any rainy days.
    Trying to be a man is a waste of a woman
  • jacques_chirac
    jacques_chirac Posts: 2,825 Forumite
    You're moaning that you are not entitled to benefits, and in the next breath bragging about how you minimise your tax liability. Can you not see the contradiction?
  • You're moaning that you are not entitled to benefits, and in the next breath bragging about how you minimise your tax liability. Can you not see the contradiction?

    Hang on now. I wasnt the one who brought up my tax liabilty and I've certainly not been bragging.

    But yes, I plan accordingly as allowed by law. Also, if the law allows me to claim benefits when I qualify then whats the problem?
  • jacques_chirac
    jacques_chirac Posts: 2,825 Forumite
    edited 3 April at 1:58PM
    [quote=[Deleted User];62595531]Hang on now. I wasnt the one who brought up my tax liabilty and I've certainly not been bragging.

    But yes, I plan accordingly as allowed by law. Also, if the law allows me to claim benefits when I qualify then whats the problem?[/QUOTE]

    The law does not allow you to claim benefits though - you are not entitled.

    Karma springs to mind.
  • The law does not allow you to claim benefits though - you are not entitled.

    Karma springs to mind.

    So quite why does the law not allow me to claim benefits?

    You do know that any salary paid over the LEL threshold does, in fact, count as having paid NI when in fact the payments are zero? In theory I could pay myself £7488 (or whatever it is) for several years ensuring I'm over the LEL threshold and would be then entitled to benefits. Thats the law.

    My case is slightly different because of the one year where it was slightly different of course.

    I'm sorry but just because you don't think something should happen makes no difference. The law of the land takes precedence fortunately.
  • missapril75
    missapril75 Posts: 1,669 Forumite
    Eighth Anniversary Combo Breaker
    edited 3 April at 1:58PM
    [quote=[Deleted User];62594077]Moral? Don't see where that comes into it. I don't make the laws. Everything I do is legal, transparent etc.[/QUOTE]
    Happy to take your word for it.

    So why the comment about immigrants if "legal, transparent etc" is what matters?
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