Whether you're new to contracting or simply concerned about how IR35 will affect you, it's essential to understand your options as a contractor in the UK. While operating under an umbrella company may not be as tax-effective as operating through a limited company, it does have certain benefits that may outweigh the administrative and tax compliance burdens associated with working through a limited company.
In this blog, we look at how umbrella companies operate and how can you ensure that the umbrella company is paying the correct amount of tax.
Choose a compliant umbrella firm – and you will have no worries. Your tax affairs will be in order, you will be paid on time, you will have access to Employment Benefits, and you will have the freedom to join and exit as frequently as you like. Contracting with compliant umbrella firms is a boon!
If you want to verify whether the umbrella company is paying the right tax, you can do so by setting up a personal tax account. We always encourage all our workers to set up a personal tax account where you can easily access and edit your personal tax information. The personal tax account allows you to handle your tax affairs without calling or writing to HMRC. After creating a Personal account with HMRC, it becomes simple for you as a worker to verify your records and manage your tax information.
We offer the following benefits:
If you have any questions on claiming employment expenses or want assistance in setting up a personal tax account, please speak to one of our Umbrella company experts by contacting us on 020 3500 2615 or send us an email at firstname.lastname@example.org.
Also See: Expense Claim Through Umbrella