[111615bd]

> I wholeheartedly agree with you, those dodging tax by just operating like a permanent employee but through a Ltd company are on the wrong side of the law.

I'm a permanent employee of a one-man startup that I own. Most of the income at the moment comes form consulting. I pay the exact same tax that I would for any other employee, or that an employer would pay if they employed me. Would you elaborate on how that is dodging tax?

[TamDenholm]

I said that those operating like a permanent employee but paying themselves through a ltd company are dodging tax, based on the limited information you’ve given, it sounds like you’re running a business, not acting as a disguised employee.

You say you’re a startup, that would assume you’re trying to create and offer a product or service from your company for the market, that’s a business. You say your income is currently from consulting, I would assume that means you’re offering a service to one or more clients, I don’t know the details but if you’re offering that consulting service like a business then you’re not a disguised employee.

If however you are working for a company, using their equipment, in their workplace, on their timetable, taking holidays when they say so, where you cannot substitute yourself with someone else and you don’t have any other clients and it’s essentially a permanent arrangement, then yeah, it’s possible you are falling foul of the IR35 law and you should speak to an expert on the subject.