Self employed status

DoctorStrange

Are you the pilot or cabin crew?

makingitright

DoctorStrange said:

Are you the pilot or cabin crew?

I'd prefer not to say as the bully management may see this then my life would be made unbearable.

DoctorStrange

Understood - the reason for asking is that pilots have a stronger defence against IR35 than cabin crew.

Yours seems a complicated case. As I understand it you are living in the UK, working for/owning an Irish (Personal Service) company which provides services to an Irish company. Presumably, those services are physically performed all over Europe and beyond, but as you live in the UK you're likely to fall under the UK tax regime on your worldwide income.

Are you operating full PAYE via your Irish PSC or are you saving up retained profits / paying dividends?

Also, just for the avoidance of any doubt, you're not aware of any "loans" / "schemes" / "solutions" or any suchlike being offered by the accountants or agents?

Dazed_and_C0nfused

Op, have you seen this?

https://acuitylaw.com/ryanair-faces-tribunal-turbulence-as-agency-worker-pilot-exposes-self-employed-sham/

makingitright

DoctorStrange said:

Understood - the reason for asking is that pilots have a stronger defence against IR35 than cabin crew.

Yours seems a complicated case. As I understand it you are living in the UK, working for/owning an Irish (Personal Service) company which provides services to an Irish company. Presumably, those services are physically performed all over Europe and beyond, but as you live in the UK you're likely to fall under the UK tax regime on your worldwide income.

Are you operating full PAYE via your Irish PSC or are you saving up retained profits / paying dividends?

Also, just for the avoidance of any doubt, you're not aware of any "loans" / "schemes" / "solutions" or any suchlike being offered by the accountants or 

• I pay full PAYE.
• Answer to your last question is no.

DoctorStrange

If you're already paying full PAYE then your risk would appear limited to the Employer's NIC (or Irish equivalent).

Do you know if that's being paid and, if so, if it's to HMRC or the Irish Revenue?

This is usually a contentious point as say you earn £100 and think "I'll pay my 30% tax and 12% NIC, leaving me with £58".

HMRC then come along and say they're missing the ENIC and AL and it should have gone £100 minus £15 leaves £85 to you, from which you now take off 30% tax ( £25.50 ) and 12% NIC (£10.20) leaving you with £52.30 i.e. a new tax bill of £5.70. (Simplified figures obviously for illustration only - real world examples are usually more expensive than the c6% shown here)

If the Employer's NIC is already accounted for, then basically you're already operating "inside IR35" and your tax risk is minimal (although as pointed out above you may wish to look at whether your tax and employment statuses align as there's no automatic link)

DoctorStrange

P.s. glad to here there's no loans or other "solutions" involved.

They're all scams of a sort and extremely risky - best left avoided!

Grumpy_chap

This might be worth the OP taking some professional (paid for) advice.  
There are specific rules for IR35 relating to an overseas employer (end-Client) and also relating to companies below a certain size.

However, the OP appears to be working, to all intent and purposes, for a UK based operation of the employing end-Client.  That is if I have understood correctly that the OP works for an airline and, from home in the UK, work starts and ends in the UK.

I can't imagine that the intent of IR35 would be that a non-UK business could engage contractors within the UK and the contractor sets up their own Ltd Co. outside the UK and that circumvents IR35.  Of course, the law does not always match intent...