tax issues, dont get it?

[Atouchofgas]

If he is sub to a contractor then he should be keeping his receipts, if you don't split the bill then you are paying tax on everything. This means that you would pay mat + vat +cis. According to my accountant splitting the bill is the proper way to do it
"But VAT, the cost of materials and certain other costs like plant hire don't count as pay, so the contractor will exclude them when they work out how much to deduct"
. This is quoted from the hrmc website

 

[AWheating]

oh ok i get you, of course if you supply materials then you dont pay tax on them and need to itemise it on your invoice. I think i read your post incorrecly . my apologies, im having a bad day.

 

[Atouchofgas]

Re-reading my first post doesn't make much sense so I agree with you on that

 

[southcoastboile]

Thanks everyone, think ive got it sused now then, only other thing is if I am subbying I heared you can only do a certian amount of work for someone, i.e you cant do a job a day? mabee once a week or something. if you were to do that they would have to employ you, is that true?

 

[Destroyer2813]

I do subbying for a mate were i might do 2/3 weeks in a row but then nothiung for a month been that way for 3 years or so and our accountants have never said anything

 

[tamz]

only other thing is if I am subbying I heared you can only do a certian amount of work for someone, i.e you cant do a job a day? mabee once a week or something. if you were to do that they would have to employ you, is that true?

Not necessarily. You could work for him 5 days a week and still be self employed. Other things are taken into account.

Have a look at this
HM Revenue & Customs:Employment Status Indicator

 

[southcoastboile]

thansk tamz