The IT Contractor Tax Guide
If you’re an IT professional thinking about contracting, our easy-to-understand IT contractor tax guide will help you make sense of how taxes work for contractors.
What is an umbrella company? Contractor and Freelancer FAQs
Contracting via umbrella company is widely considered as being the easiest method for contractors and freelancers to get paid. There is less of an administrative burden than operating through a limited company and getting paid is a quick and efficient process. We are regularly asked about umbrella company payroll by contract and freelance workers. Here are the answers to the most common queries, including ‘what is an umbrella company?’
How will the new Apprenticeship Levy affect recruitment agencies?
The Apprenticeship Levy officially came into effect on the 6 April 2017. Whilst the levy itself is only 0.5% of a company’s total salary expenditure, this could potentially cost recruitment agencies thousands of pounds. Our latest blog summarises the levy and how it might impact your recruitment agency.
Avoid referring your candidates to offshore intermediaries
It is understandable that your candidates will want to maximise their take home pay. However, using an offshore intermediary could land them in serious trouble with HMRC and your recruitment agency could also be punished as a promoter of a tax avoidance scheme. Find out more about the risks of referring your candidates to offshore intermediaries.
Can you claim expenses through an umbrella company?
Contractors working through umbrella companies were hit hard by changes in legislation concerning claiming expenses. Starting on the 6th April 2016, HMRC introduced legislation that significantly reduced the number of contractors able to claim tax relief on travel and subsistence expenses. In fact, umbrella workers are usually not considered for expense claims.
HMRC confirm they are aware of a new job board tax avoidance scheme
A new tax avoidance scheme that disguises remuneration by paying contractors with a combination of a smaller salary and loyalty points has been identified by HMRC. Users and promoters of job board tax avoidance schemes are already being investigated and are being urged to contact HMRC immediately to get their tax affairs in order.
What is a limited company? Contractor FAQs
Many people who either are looking to start their own business, or are a contractor or freelancer looking for a payroll solution, hear that limited companies are a tax-efficient way to operate in the UK. But with all the confusing jargon surrounding it, what is a limited company really and how can operating one benefit you?
What are the payroll options for contractors working in the public sector?
There has been a lot of talk about the changes to off-payroll legislation in the public sector that went live on 6 April 2017. Contractors and their recruitment agencies have been heavily impacted by the changes and this article will summarise the best payroll options available to contractors working in the public sector.
What are the benefits of working through an umbrella company?
With changes to off-payroll legislation (IR35) that have come into place in the public sector, and soon the private sector, demand for umbrella companies has drastically increased. Umbrella company payroll is an alternative payroll option to agency PAYE, and is a popular choice for contractors who can no longer work through a PSC (Personal Service Company).