Retain up to 85% of your Income

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Fully HMRC Compliant

In April 2000 HM Revenue & Customs introduced new tax known as IR35.  Now, if the Inland Revenue think that any or all of your contracts are in fact disguised employment, then you'll be taxed as if you were an employee of your client - paying the income tax, employees' National Insurance and employers' National Insurance out of your take home pay.

Just how large are the tax savings achieved by staying outside IR35?

We can help you legally stay outside of the IR35 rules.  That means you can make BIG tax savings - from about £7,200 on fees of about £50,000pa – to £22,000 on a turnover of £97,000! 

If your fees are a little lower – say anything above £35,000 there are still worthwhile savings to be made.

We will tell you how to maximise what you can take from the company, through a mix of salary and dividends, to minimise your tax bill as well as advising you on what you can legally claim as expenses – which again will minimise the amount of tax you need to pay.  

To get these tax savings it is essential to choose the right company set-up.  Better still use our expertise to do it for you.

The more skilfully the arrangements can be tailored to your circumstances the greater your take-home pay will be.

If you expect your Freelancer's contract to be worth over £40,000 per annum talk to Jim Dutton or Clara Torres.

The graph below shows the improved take-home income you could expect from contracting through your own company and splitting dividends with your spouse etc.

      

 

(1)  Assuming that the 2nd shareholder has no other income.

Notice that with a turnover of £100,000 your combined tax and NI contributions could be less than 18%.