JonathanRyan
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- Jonathan
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We were in the same line but we never begrudged the tax we paid over a 30 year period.
Me neither - except a generalised annoyance that so much of tax goes on stupid things like wars rather than useful things like education and hospitals. And if it didn't the rates would be substantially lower. I also mildly resent the year they wasted investigating my business with countless threats of fines and possible imprisonment which ended with a suggestion the £15 per week for running a business from a dedicated room in my house was "excessive".
My point was mainly that we never avoided any tax while running the business and paid substantially more than, say, Starbucks. The government has now essentially stopped that business which means we now pay a lot less tax. We also have less money.
IR35 has complicated matters recently. I'm employed, but my place used to hire loads of external consultants and that's more or less stopped now. A few colleagues have told me it's not as good as it once was..
I looked at an "IR35 friendly" contract a while back. I don't remember the exact numbers but I would be taking home something like 40% of the gross - so a "tax" rate of around 60% as opposed to the 20-40% + NI that most people pay. But the fine structure is such that many large employers won't hire contractors at any price now. A lot of the work is going offshore.
