I was just wondering if anyone had experience running as one man limited company, and will i need to be wary of IR35 and false self-employment.
I currently run as a limited company for the last year and have been running the majority of my work through one business, in the next tax year i will be doing contracts for various businesses so will be invoicing from different companies on a regular basis. Should i be wary of HMRC. Many thanks in advance.
Questions And Answers
IR35 and false self-employment
asked by
met Trop
posted 2 Years ago at 12:01
1-5 of 5 Answers
Andrew Diver answered 2 Years ago at 12:39
Of course you should be wary as HMRC need money!But they have been very bad at winning tax cases they take to challenge on the basis of IR35. I think all the cases in the past few years have been in favour of the taxpayer. There was a concern whether Autoclenz case would open this avenue up. But it only really has relevance where the documentation doesn't follow the reality of the arrangement.
Certainly if the nature of your engagement is structured in the correct manner then you should be fine and certainly when you have multiple customers this certainly adds to this.
Monty Nevett answered 2 Years ago at 16:09
Please feel free to contact me for a free independant review of your IR35 status both from a contract and actual working practise point of view - monty.nevett@planitservices.co.uk
Peter Jarman answered 2 Years ago at 14:29, last modified: 2 Years ago at 14:29
You must look at this on a contract by contract basis but youcould be caught by IR35 with one contract and not caught with another. I would suggest that you link up with an accountant that is familar with One man companies and IR35 to give yourself a reasonable chance of staying outside the rules. If you need help we act for many individuals in a similar position and can give you practical advice to minimise your exposure here. just call on 01273 441187 or visit www.peterjarman.com
met Trop answered 2 Years ago at 19:52
Many thanks for that, i understand a bit more clearly now, i'm pretty confident that i'll be outside the rules but would prefer to be sure.Generally what is the payment and billing like from accountants, is it an initial meeting or is everything billed from the get go?
Many thanks
Paul Hudson answered 2 Years ago at 16:41, last modified: 2 Years ago at 16:41
I can't speak for all firms but many accountants will offer an initial meeting free if they want your business - we certainly do!
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