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Self-employed & Coronavirus
- Thread starter Ric
- Start date
lee one pen
Well-Known Member
- Joined
- 14 May 2012
- Messages
- 820
As mentioned above, I am a qualified accountant but I don't work in practice and I am not a personal tax expert or permitted to advise on the subject.
Bluesince1979
Well-Known Member
I can literally scrape by on 80% of salary. Ive never taken dividends so that wont affect me.Thanks mate, but that is the crux for me.
I can still earn more scratching a living than from taking 80 per cent of a very basic salary for the next three months.
If all I did was admin and stuff, my business would cease to exist within a fortnight.
My business does not exist without me. It is my intellectual property and skills which sustains it.
I do not trade in goods as such.
80% will literally cover my outgoings with some trimming here n there But i can deal with that.
OB1
Well-Known Member
Then you should know its the customers who push this way of paying. Yet the advice your profession has given ltd company directors has left us in the sh#t.
I'm not blaming your profession, just highlighting the irony of an accountant giving a high tax payer advice on cash.
The point I'm making is that responsibility for compliance with the law lies with the business that is making the sale and not the private individual that is purchasing.
I don't work in the profession. By force of circumstance rather than choice, I work as a contractor through my own limited company. I run and consult on the running of finance functions within businesses. I use a firm of accountants to handle my tax. The advice accountants have given the self-employed was good advice, the fact that it's not optimal when it comes to get govt support during the Covid crisis is not something they could have foreseen so you would be right not to blame the accounting profession.
tolmie's hairdoo
Well-Known Member
I can literally scrape by on 80% of salary. Ive never taken dividends so that wont affect me.
80% will literally cover my outgoings with some trimming here n there But i can deal with that.
Best of British, mate.
sir baconface
Well-Known Member
How does that work? Can you give a worked example?There are contractors earning £600+ a day, at the same client for years, who are paying 10% tax maximum
sir baconface
Well-Known Member
Unlike salary, no NIC is payable on dividends.Dividends has gone from non-taxable, to £5k allowance per couple to £2k. There is no real tax advantage that I can perceive, certainly seem to have missed the boat on that front.
sir baconface
Well-Known Member
Does statutory redundancy cover a spouse in such circumstances?Here is a hypothetical....what if you ignored the plea from the government and did not take up their 80 per cent furloughed employee status?
In respect of a small Ltd company sacking their employee (spouse) and having to hand her a severance package as a result.
(Haven’t checked but suspect not.)
TheRemainsOfTheDave
Well-Known Member
- Joined
- 16 Mar 2017
- Messages
- 6,491
Yes I'd be interested too.How does that work? Can you give a worked example?
We are forced out of business and had to close the cafe. We are in a tenure with a large organisation. I emailed this organisation to ask where we stand as regards paying the rent for the premises. I requested an email back to keep for future record. I received a phone call this morning from one of the top business managers claiming he didn't understand the email and we still have to pay the rent throughout. Told him that I didn't think it appropriate for a phone call as the email I sent was very clear. I told him to put in writing what he said and send by email as previously requested. I'm not sure if will make any difference but here's hoping.