IR35 client not toeing the line: What would you do?
I have a client who is, in my opinion an IR35 case but client does not agree with this.
Client invoices his client through the Ltd Co.
The limited company also owns 2 UK properties.
Client will not prepare their books under IR35 regime, but instead puts every claimable item through his book-keeping and expects a full tax deduction for it.
Client has "employed" his wife to manage the 2 rental properties (at £20K a year) and is putting her wage through his Ltd Co under the rental property cost center.
Further, client has just leased a car for him and a car for her, hers going through the rental property cost center and his going through his cost center.
How would you deal with this client, when they are clearly claiming for items that would not be allowable under IR35?
I had thought of getting the client to sign a disclaimer stating that I had advised an IR35 approach but would operate on the clients instructions providing they indemnified me against all outcomes.
- Error on SA Tax Return 101 3
- Increasing the personal allowance: A top priority? 1,159 46
- dividend 135 10
- Purchase of shares in a Limited Company 99 5
- Repairs or Improvement? 249 5
- Credit Card Payment - What are we required to do? 157 3
- Irish Taxation 135 4
- Now the phishers have baited their hooks with SAGE 301 2
- Self assessment tax arrears 509 6
- Drector renting room to company 86 1
- Off site storage 146 5
- Is Accountancy Becoming like an Insurance Policy 596 6
- Anyone know about Cloud-Based Practice Management Software? 244 7
- Industrial & Provident Societies 348 1
- Advertising with Hibu nee Yell (Yellow Pages) 234 3
- Auto-enrolment - Fees 325 4
- Self assesment losses 319 8
- RTI and s18 ITEPA 172 3
- Garden studio - tax and VAT deductible? 180 1
- CT treatment of staff entertainment for overseas staff 118 2
- Xtuple 563
- Qtac payroll for bureau 385
- Confused - Professional Association a Mutual trader, or not? 341
- Domain name sale and limited company 232
- Italian friend wants to set up a UK company to reduce taxes 211
- Director legal fees in loose connection to the company 207
- Investment 204
- Multiple bodies and practicing certificates 179
- Tax on damages received 179
- Temporary non residence and CGT on non-UK asset 146