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.
- Accounting Web - What is happening? 1,815 43
- Do you use commercial software for Self Assessment tax returns? 431 16
- Time to ditch Sage? 287 5
- Losses carry forward to self employed 61 1
- Fees 325 3
- Agent Authorisation Issue 252 3
- HMRC Post 540 7
- Transactions with directors 454 3
- CT600 - Credit balance in expenses? 292 9
- Non VAT invoices 217 4
- Travel is part allowable if combined with personal holiday 215 2
- Client in dispute with Customer over cancellation charge 1,399 32
- Correcting earlier year CT600s 261 5
- ACCA Special Business Resolutions... 232 2
- Form 17 Download 167 1
- Claiming VAT on car lease 566 28
- Small hotel - food for personal use 386 4
- HMRC Information notice 1,000 24
- Recommendations for online payroll software 287 3
- Accountant Specialization. 404 5
- Chart of account segments; Balance sheet vs P&L 765
- Any knowledge of salesorder.com 415
- Could and would anyone here carry out a hot file review of some non statutory audit work please? 366
- Electric Car 302
- S222 Charge 245
- Corporation tax penalties and fines on the CT600 212
- IP trans to holding company 196
- Software to Deal with Amazon and Ebay Sales 185
- AIA 181
- Best way to convert Sage data to VT Transaction+ 180