A limited company might be your most tax efficient option if you’re earning more than £15 per hour and contracting for the longer term.
You may be eligible to claim business expenses and, if you pass the IR35 test, you can choose to pay yourself dividends alongside your salary, which reduces your tax burden.
The whole point of contracting is freedom of being your own boss, so we are here to give you the accounting tax and legal advice you need to get started and all the help you need going onwards and upwards.
limited company benefits
- your own qualified accountant and support team
- speedy set up
- independent specialist IR35 advice
- bespoke, mobile enabled software
- nearly 30 years of experience
- specialist business insurances
- agreed service levels
- 100% compliance
- access to full payment history
When you form a limited company through giant accounts, you’re not alone! We’re here for you with expert advice on your working options.
We can help you organise your business bank account. And there’s plenty of ongoing support from your accountant and our team of specialists, as well as your 24/7 personal, online, mobile enabled portal.
If you’re new to this kind of independence – freelancing, contracting, self-employment – you’ll soon realise that you have additional responsibilities as a director, but don’t worry as we’re here to help!
Please note that these calculations are based on the following series of assumptions:
- HMRC Flat Rate VAT scheme at 16.5% with the first-year discount
- Assignments are not subject to IR35
- Based on basic rate taxes; higher rate taxes may apply
IR35 Off-payroll working
The aim of the Off-payroll working legislation is to ensure that if you are truly an independent self-employed contractor, you can benefit from receiving dividends and if not, tax and national insurance must be deducted from your earnings by the party paying you.
That’s why, understanding whether you are inside or outside IR35 will have a significant impact on your net income.
Historically, you the worker have decided your IR35 status, but HMRC have argued that 90% of these outside IR35 decisions are wrong, losing the government millions in taxes. Hence the IR35 Off-payroll working regulations have been introduced.
Since April 2017 hirers who are in the public sector have been responsible for deciding your IR35 status, not you, and as of April 2020 large private hirers will also make the decision. As a result, in 2017 we saw a very dramatic drop of limited company users in the public sector and we believe the impact after April 2020 will be the same in the private sector.
It is therefore very important you make the right decision if you are considering a limited company. We can help you compare your options and provide the right solution.
how it works
We support and guide you through setting up your business, IR35 assessments, the day-to-day running, VAT returns, salary, expenses, dividends (when outside IR35), personal and company tax returns, and business growth.
Our speedy set up means company incorporation takes about 5 minutes and can be done over the phone! Everything else will be set up and you will be good to go within 24 hours.
With prices starting from £125 a month, can you afford to wait?