tag:blogger.com,1999:blog-34749556.post1414840169511689314..comments2007-07-14T10:05:23.928+00:00Comments on Bretters: I am my own employee!Unknownnoreply@blogger.comBlogger2125tag:blogger.com,1999:blog-34749556.post-30354310099545920372007-02-16T10:23:00.000+00:002007-02-16T10:23:00.000+00:00The problem here (and IR35 was created to "solve" ...The problem here (and IR35 was created to "solve" this problem) is the ability of personal service companies to avoid national insurance contributions. If NI and income tax were melded into one tax there would be no point in paying yourself by dividend rather than salary since both streams of income would bear the same rates of tax. Quite why Gordo allows this nonsense to continue is a mystery. Well, not quite: if you follow the money you'll see that a lot of civil servants administer the collection side of NI: they would lose their function (but not, of course, their jobs - this is the civil service after all) if the system was rationalised.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-34749556.post-89595365670114102232007-02-03T19:17:00.000+00:002007-02-03T19:17:00.000+00:00Your analysis is not accurate. The IR35 trap has n...Your analysis is not accurate. The IR35 trap has nothing to do with how many clients you have, it is a test to see if you are effectively an empoloyee of that one client. I rarely have more than one client at a time but have never been on the wrong side of IR35. How? Well I almost always work on a fixed price basis for a pre-specified piece of work - the clent has no automatic right to change the work I am doing. I also work from home as much as possible, using my own (my company's) equipment and consumables - if I work on site I always try to use my own laptop, paper, pens etc. I do hot have the same working time or holidays as the client, and receive no "perks" from them.<br /><br />If your client won't work this way, then quite frankly you really are just an employee, and the IR is right to get the equivalent amount of cash that they would have received if you were one. If you object to paying employer's NI, charge more for your time, after all the client/employer is saving that money from his own tax bill.Anonymousnoreply@blogger.com