Most commonly, freelancers and contractors either set up a limited company and become the sole Director, or use an umbrella company for their payroll. After some recent changes in legislation, umbrella companies have become more popular. However, do you understand how your candidates’ pay is calculated?
The deadline for filing self-assessment tax returns for the 2016/17 tax year was midnight on 31st January 2018. Any personal tax payments due also needed to be paid by this deadline. Have you still not filed your return or paid your self-assessment tax bill?
According to a Freedom for Information request by contractor resource firm Contractor Calculator, HMRC has admitted to not holding any detailed evidence that its own IR35 status check tool was tested for accuracy.