Government considering ditching IR35

[jaxaxe]

The government is considering getting rid of IR35, the tax that killed the IT contracting industry.

Happy days could soon be here again for some on here.

[Daydream Believer]

Originally Posted by jaxaxe

The government is considering getting rid of IR35, the tax that killed the IT contracting industry.

Happy days could soon be here again for some on here.

Excellent news. It was one of the main factors in me knocking contracting on the head.

[consettsafc]

What is IR35?, Are they planning to put the overseas earnings thingy back to 180 days?

[Rex]

Originally Posted by jaxaxe

The government is considering getting rid of IR35, the tax that killed the IT contracting industry.

Happy days could soon be here again for some on here.

Fair play to them. Looking after small business as they said they would.

IR 35 never really effected us "proper" consultants anyway like

[SproutMackem]

Originally Posted by consettsafc

What is IR35?

it was stop contractors paying themselves 8k a year and taking the rest of their earnings as untaxed dividends. Ok in principle but as usual the implementation was an arse.

[Rex]

Originally Posted by SproutMackem

it was stop contractors paying themselves 8k a year and taking the rest of their earnings as untaxed dividends. Ok in principle but as usual the implementation was an arse.

Don't you mean not double-taxed?

[SproutMackem]

Originally Posted by Rex

Don't you mean not double-taxed?

ive no idea I let someone else deal with all that shite, and it was years ago.

[Rex]

Originally Posted by SproutMackem

ive no idea I let someone else deal with all that shite, and it was years ago.

Well you pay corporation tax on the profits and then 32.5% CGT but you get 10% back (or summat like that). So everyone gets a decent accountant to max their expenses, do loads of R&D, buy stuff that depreciates and minimise profits etc etc

It is a lot of clart on. Especially as there are much easier ways of paying much less tax.

[Floyd]

FANTASTIC NEWS THIS wher'd u hear it?

this was the thing that took a load of time out of my life which i'll never get back. They spent 4 years investigating me and in the end the bastards didn't get a penny. God know how much money they wasted implementing this. HMRC lost absolutely shedloads of cases at tribunals and in court and they never revealed how much it was costing. A fitting tribute to Brown and an early indication of the Clunking Fist's egomania & control freakery

Originally Posted by Daydream Believer

Excellent news. It was one of the main factors in me knocking contracting on the head.

u and plenty others

from the Professional Contractors Group website: -

“PCG has led the way in seeking the abolition of IR35 on behalf of our members. It has caused great heartache to many people. The cost in distress has been high, but the revenue for HMRC has been minimal.

“Just look at the figures; they show that of the circa 1,500 IR35 cases PCG was involved with, HMRC has proved additional tax was owed in around 10.
“Despite repeated Freedom of Information Act requests and Parliamentary Questions the Revenue refused to indicate the cost of operating IR35. As I said PCG believes IR35 brought in a minuscule sum, if any, for the Revenue.”

10 cases out of 1500!!! fucking unbelieveable. 4 years to investigate each one? well done Brown.

[Kehtcuf Geimpas]

In other words you claim you earn £8k, pay little if any tax and fiddle the rest,!