[Closed] Working as a contractor

Firstly Contact inland revenue to get your utr number (unique tax ref. No.)
If you are working through an agency, they usually won't pay you directly so you have to go through a payment company who will deduct 20% from your pay every week and pay your tax for you. oh and charge you £15 for the pleasure.
All you have to do then is a tax return every year. That's the simple way.
Or you can set up a limited company, pay your self minimum wage and get the rest almost tax free, but I don't know enough about it to do it or to advise it
Either way, keep receipts of your spending and records of your milage.
Good luck, it's easy enough.

Thanks for your reply.

Or you can set up a limited company, pay your self minimum wage and get the rest almost tax free, but I don't know enough about it to do it or to advise it
Either way, keep receipts of your spending and records of your milage.

Thats the way I have been advised to do it.

Not sure where to start

Email to Jimmy carr?

either find an umbrella company (like parasol) or find an accountant and go and ask them if they can give you a no-obligation illustration of what they could do for you.

Things you'd want an accountant to do:
Help form your company
File your company (and personal) tax returns
Navigate you around the minefield that is the UK tax system

My accountant rides bikes and is possibly reading this 🙂 he is a tosser 😉 (not really, it is great to be able to have a beer and a laugh while discussing boring accountancy stuff)

Dave

I'd speak to an accountant as I think that also requires being vat registered.

Search the web for danbro and have a look at the website.
The site has some good info on which way to go and I have had no problem with them.

VAT registrationon only required if you turnover over 75k including expenses etc.

Not sure but I think CIS can't be treated the same as a normal contactor - best speak with an Accountant.

We use www.sjdaccountancy.co.uk, highly recommended.

pay your self minimum wage and get the rest almost tax free

Does this really seem very likely?

pay your self minimum wage and get the rest almost tax free
Does this really seem very likely?

No you pay corporation tax on the rest which can have items counted against it.

Have a look at www.simplycontracting.co.uk
Were very good for me.

They can do so much but you still have to do VAT returns etc.

HOWEVER it is for contractors not disguised employees!!

[i]No you pay corporation tax on the rest which can have items counted against it.[/i]

Not exactly correct, you pay corp tax on your profits (and you need profits to be able to pay divi's).

it was the simple version!

*Not sure approves of these tax dodging scams*

don simon - Member
*Not sure approves of these tax dodging scams*

Your confusing dodging/evasion with efficient!!

If you are a Contractor plying your trade around a number of companies then you are a company and you will have stuff to cover like pension, holiday and sick pay.

If however you are just doing it to avoid tax then you shouldn't be!!

 

Your confusing dodging/evasion with efficient!!

If however you are just doing it to avoid tax then you shouldn't be!!

HOWEVER it is for contractors not disguised employees!!

I know a few folk who went contractor because some large companies (HR departments run by muppets) are unable to offer sufficient remuneration by other means...

then unfortunately you are treading a fine line....

however HMRC don't seem to want to close it as it will be hard work.

I would actually prefer to be a full time employee. But I don't have the option this time around so I'm going to make it work as efficiently as possible.

I will check out the three links you guys have given me.

Cheers