I am the sole shareholder of my limited company - I started the company back in 1996 when I use to sell oil paintings and teddy bears!
My company now offers Software Consultancy Services. I have two employees - one of which is my husband. I pay my husband a decent salary (approximately £25K). I manage the business (e.g. all contract negotiations, contract rates, payroll, VAT etc) and do take a dividend out of the business. I do not take a salary. I do not provide any consultancy work myself.
The Inland Revenue website states that for IR35 to apply:
"In addition you (the worker) must receive or have rights entitling you to receive a payment or benefit that is not employment income."
As my husband - and other employee - are not shareholders and only receive employment income, does that mean that IR35 cannot apply to my particular situation?
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