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Nearly half of UK contractors’ work comes from overseas clients and just over half expect the amount of work they do for clients outside of the UK to increase over the next 12 months.
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HMRC has added umbrella company, Charteris Management Ltd (CML) to its list of tax avoidance schemes. However, the move has been described by one expert as ‘not going far enough’, with another urging the tax office to start calling out ‘the big players’.
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Since IR35 metamorphosed into the 'off payroll' rules, the ongoing criticism of poorly drafted legislation and confusing outcomes has taken on new levels.
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The hidden misery for contractors and freelancers in the Autumn Statement was the announcement that the dividend tax thresholds will be reduced from £2,000 to £1,000 in April 2023, before halving again, to £500 in April 2024.
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A professional tax body claims that the announcement in the Autumn Statement that the Government will freeze the VAT registration threshold of £85,000 until at least March 2026 will put more pressure on small businesses.
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Some self-employed universal credit claimants may not see the full value of the Government's rise in benefits because the artificial minimum income floor that is applied to some low paid self-employed claimants in universal credit is directly linked to the minimum wage which will also rise from 1 April 2023.
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Chancellor Jeremy Hunt has unveiled the contents of his Autumn Statement in the House of Commons with a mixture of hope for the future and repairs of the past.
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Budgets are becoming a bit like buses - you wait for ages, then they all come along at once.
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It has been a confusing time for contractors and businesses that use their services, as the regulations and the political powers-that-be who administer them have operated a policy which has been a mixture of revolving doors and U-turns.
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After the chopping, changing and U-turning on the IR35 'off-payroll' legislation almost half of contractors are concerned there will be further reforms to contend with - and three quarters have considered leaving contracting in the last 12 months.
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