The October 2018 Budget announced further consultation on expanding tax legislation surrounding contractors who work through their own limited company to supply services to a third party.
This change in legislation is forecast to come into force in April 2020 and will place a burden on those who engage personal service companies to check the employment status of contractors, as well as placing responsibility on both the engager and contractor to ensure the correct employment tax is paid.
If you are a contractor currently working through a limited company, it may be time to consider addressing your current arrangements from limited company to an umbrella solution ahead of these changes.
The transition is easy and the benefits of engaging under an umbrella scheme include:
- Easily transferable: Bishopsgate Contracting Solutions’ umbrella scheme is transferrable between assignments where you may want to work for multiple engagers. So once your temporary assignment is up, you can begin the next without any of the lengthy administration that can occur at the start of a new appointment.
- Full Compliance: Bishopsgate Contracting Solutions’ umbrella scheme guarantees that you are operating inside of all UK tax and employment legislation.
- Employee benefits: Under Bishopsgate Contracting Solutions’ umbrella scheme you are entitled to the same employee benefits as a regular employee. This includes benefits such as sick, maternity/paternity and holiday pay.
- Less paperwork and administration: Transferring to an umbrella scheme reduces the amount of administration and paperwork associated with managing your own company. Bishopsgate Contracting Solutions deals with all the invoice and payment paperwork on your behalf.
If you or people you know would like to know more about how Bishopsgate Contracting Solutions can help you engage under umbrella payroll, or wish to discuss any of the above with us, call today on 0203 019 4990 or email us at firstname.lastname@example.org