Re: Sole Trader question : Mon Nov 05, 2012 1:14 pm  

carl_spackler wrote: Sounds like you're possibly a borderline case, but being honest I think you're probably open to the revenue saying that you're employed if you don't pick up other work as well. Have a bash at this. We had a PAYE inspection last year and they picked up on somebody we had a few years ago who used to work a bit for us and was a borderline case. Because it was small sums and he had not done any work for us for a while and was unlikely to in the future they left it as it was, but said that had it been more current they would probably have looked at it more closely. Also, if it's an arrangement the company are making with several other people this could have an impact. I had a go on the ESI thing and it said I was self employed. I don't think the company has anyone else on the same sort of contract, as it happens I may have just sorted another client out who I would be regularly invoicing, so I would have at least 2 clients.

carl_spackler wrote: Sounds like you're possibly a borderline case, but being honest I think you're probably open to the revenue saying that you're employed if you don't pick up other work as well. Have a bash at this. We had a PAYE inspection last year and they picked up on somebody we had a few years ago who used to work a bit for us and was a borderline case. Because it was small sums and he had not done any work for us for a while and was unlikely to in the future they left it as it was, but said that had it been more current they would probably have looked at it more closely. Also, if it's an arrangement the company are making with several other people this could have an impact. I had a go on the ESI thing and it said I was self employed. I don't think the company has anyone else on the same sort of contract, as it happens I may have just sorted another client out who I would be regularly invoicing, so I would have at least 2 clients.

Re: Sole Trader question : Mon Nov 05, 2012 1:21 pm  

christopher wrote:

I had a go on the ESI thing and it said I was self employed.

I don't think the company has anyone else on the same sort of contract, as it happens I may have just sorted another client out who I would be regularly invoicing, so I would have at least 2 clients.

You could be fine. More clients will help massively.

Re: Sole Trader question : Mon Nov 05, 2012 11:35 pm  

Sounds like it's either a lot tougher or people are guessing what you can do.

I was a typographer, spent 3 years freelancing. Set a day rate, then an hourly rate after 630pm. Claimed all that I was entitled to. Car, petrol, travel, flat, utilities, postage, stationery, print, computers (which depreciate and an amount will come of next year’s tax bill too) and of course the miscellaneous column. From memory a percentage of my flat was tax deductible as it was used as my office. So if you earn £25,000 and your expenses were £5,000, your tax will be based on the £20,000 that's left. I spent years with the same company and did the odd job for others. You don't get things like holidays or sickness as you well know no doubt.

But mintball may be able to fill you in more as she does get paid holiday as a freelancer for some amazing and fortunate reason. Jammy moo.

Re: Sole Trader question : Tue Nov 06, 2012 8:41 am  

Rooster Booster wrote:

Sounds like it's either a lot tougher or people are guessing what you can do.

I was a typographer, spent 3 years freelancing. Set a day rate, then an hourly rate after 630pm. Claimed all that I was entitled to. Car, petrol, travel, flat, utilities, postage, stationery, print, computers (which depreciate and an amount will come of next year’s tax bill too) and of course the miscellaneous column. From memory a percentage of my flat was tax deductible as it was used as my office. So if you earn £25,000 and your expenses were £5,000, your tax will be based on the £20,000 that's left. I spent years with the same company and did the odd job for others. You don't get things like holidays or sickness as you well know no doubt.

But mintball may be able to fill you in more as she does get paid holiday as a freelancer for some amazing and fortunate reason. Jammy moo.

It's got a lot tougher, especially with single-employee limited companies working almost exclusively for one client.

Re: Sole Trader question : Tue Nov 06, 2012 9:36 am  

The OP should change his name to Starbucks and then tell HMRC to fook off

Re: Sole Trader question : Tue Nov 06, 2012 9:43 am  

cod'ead wrote:

The OP should change his name to Starbucks and then tell HMRC to fook off

Ive got a meeting with an accountant today so I'll see what he says.

What seems really annoying about the IR35 tax is that it seems if you fall within it, you get taxed more than if you were an employee but obviously without any of the benefits of being an employee.

Re: Sole Trader question : Tue Nov 06, 2012 9:48 am  

carl_spackler wrote:

It's got a lot tougher, especially with single-employee limited companies working almost exclusively for one client.

Is it only the rich that are allowed tax benefits still then? Blimey.

Re: Sole Trader question : Tue Nov 06, 2012 10:16 am  

Rooster Booster wrote:

Is it only the rich that are allowed tax benefits still then? Blimey.

And it was brought in by a Labour Government! although the the coalition seemingly had an opportunity to change the tax law but unsurprisingly did bugger all about it.

Re: Sole Trader question : Tue Nov 06, 2012 12:07 pm  

Rooster Booster wrote:

Is it only the rich that are allowed tax benefits still then? Blimey.

It's as much to get the contracting companies as the individuals, really. A lot try to pass employees off as sub-contractors to save paying NI.

Re: Sole Trader question : Tue Nov 06, 2012 12:43 pm  

Get yourself registered on Sark and avoid any sort of tiresome paperwork and tax, although this advice does not apply if you are a teacher for the island is saturated with teachers with 24000 of them all working in one small school.

Get yourself registered on Sark and avoid any sort of tiresome paperwork and tax, although this advice does not apply if you are a teacher for the island is saturated with teachers with 24000 of them all working in one small school.