Government IR35 pay deals raise spectre of contractor witch-hunt
The contractor and freelancer world have been all atwitter these past few weeks after it was revealed that Student Loans Company Chief Executive Ed Lester received his pay through a limited company despite being an obvious employee of the firm. This is in stark contrast to HMRC's stance on so-called disguised employment - which contractors...
Libertarian think-tank proposes making SME employees self-employed
Several surveys and studies in 2011 highlighted the fact that contractors and freelancers who wish to grow their business are put off by the excessive red tape and financial burden that comes with taking on employees. Now a prominent Libertarian think-tank called the Adam Smith Institute has published the first part of a paper called...
BCC calls on Government to cut red tape for small businesses
The British Chambers of Commerce has added their voice to the growing concerns over red tape for contractors, freelancers and small businesses. The BCC has called for increased deregulation to allow small firms to acquire the skills they need through extra employees.
What we learned about IR35 in 2011
IR35, as with all legislation, is a constantly evolving beast. With every new case comes new case law that contractors, freelancers, and employment experts can use to try to stay one step ahead of HMRC's hamfisted enforcement of the much-maligned anti-avoidance rules.
General Anti-Avoidance Rule touted by Prime Minister
There was hope for contractors affected by IR35 last week as both Prime Minister David Cameron and his deputy Nick Clegg publicly stated the Government was looking at introducing a General Anti-Avoidance Rule to tackle tax dodgers, which could render IR35 redundant.
National Insurance Holidays scheme attracts ministerial ire
As part of their ongoing attempts to coax the UK's wavering economy back to life, in 2010 the Government introduced a scheme called National Insurance Holidays. This tax relief system allows first-time employers to forego employer National Insurance Contributions for their first ten employees up to a maximum value of £5,000 per employee.
Four times increase in rejected SME loans since 2007
New figures released by Eurostat last week have painted a bleak picture of the state of small business financing in the UK. The figures (PDF link) show that between 2007 and 2010 as the recession began to bite, the number of failed SME loan applications quadrupled from 5.6% of all applications to 20.8%.
The Agency Workers Regulations – are you prepared?
The Agency Workers Regulations officially came into force in the UK, Wales and Scotland on October 1st. Although the regulations are designed to protect vulnerable and low-paid temporary workers, many contractors are affected by the new rules if they operate through an umbrella company.
HMRC’s next tax target: private tutors
HMRC has been running numerous schemes over the last few months to narrow what it calls the 'tax gap' - the gulf between the actual amount of tax paid by UK citizens and corporations and the actual amount owed. Last year the tax gap stood at a not-insignificant £39 billion.
Free Limited Company formation with GoLimited.co
Forming a Limited Company can be a shrewd move for the budding contractor. Not only can it give your business an added sheen of professionalism, it can pay dividends (quite literally) in terms of better tax efficiency, meaning you get to take home more of the money you earn, with less being syphoned off by...
Company incorporations on the up, says Companies House
Last week Companies House, who, like so many other Government bodies, have begun to use social media to communicate with their public, tweeted some interesting figures.
IR35 and AWR – separated at birth?
Contractors concerned with their IR35 status or their employment situation once AWR comes into force in October have been handed a small sliver of clarity, however many questions remain unanswered.
