Advise on tax

[Rob1990]

Looking for some advice on tax.

 

I'm new to the industry and I am looking to set up as a sub contractor and need some advice on paying tax. 
 

I will be getting full time work from a local company but won’t be on the books. So I will technically be a sub contractor still. What do I need to do for tax? Do I set up as a self employed business and pay tax at the end of the tax year? Or is there a way to pay monthly? Or is there a better way to do it for someone in my situation? 
 

Any advice would be appreciated.

 

thanks.

Edited September 26, 2021 by Rob1990

[monkeybusiness]

If you are working full time for one company then you should almost definitely be employed ‘on the books’ - Google IR35. 

‘Grenade…..’
 

[eggsarascal]

[Will C]

Full time for the same company is not a sub contractor in the eyes of hmrc. Sooner or later the brown stuff will hit the spinning thing on the ceiling.

 

 

Pass the popcorn please someone 🍿 

[eggsarascal]

Back to being serious, technically you can't do what you are suggesting, but I've done it with no repercussions. Get it in writing that you are contracting for the duration of the job, if you are bouncing around doing domestic work this might be a problem.

[Stubby]

I have done it in the past but its not what they want . Get a good accountant .

[Rough Hewn]

Looking for some advice on tax.
 
I'm new to the industry and I am looking to set up as a sub contractor and need some advice on paying tax. 
 
I will be getting full time work from a local company but won’t be on the books. So I will technically be a sub contractor still. What do I need to do for tax? Do I set up as a self employed business and pay tax at the end of the tax year? Or is there a way to pay monthly? Or is there a better way to do it for someone in my situation? 
 
Any advice would be appreciated.
 
thanks.

As pointed out, what you are suggesting is a can of worms.
However there are exemptions.
But it’s a complete minefield.
Have you asked Hmrc how it should be done?
I remember vaguely something about multiple contractors… advertising… etc…
[emoji106]

[Retired Climber]

HMRC have a set of guidelines ( a kind of simple test) for this. From what you've said your employers are just trying to shirk their responsibilities as an employer ( and save themselves some NI). It's not them, or you, who decide the relationship. 

 

https://www.gov.uk/guidance/check-employment-status-for-tax

Edited September 26, 2021 by Retired Climber