One of the benefits of being employed by an umbrella company is that your earnings are taxed before you are paid – so you don’t have to complete a tax return. However, you may need to complete one if you any have additional, untaxed income alongside your umbrella earnings.
Contractor facing the reality of the 2019 Loan Charge is required to pay back £180,000 in underpaid tax
Thousands of self-employed individuals are now facing significant tax bills as the government step up their efforts to reclaim underpaid tax via the controversial Loan Charge.
Whether you’re new to contracting or are a limited company director who may require an umbrella company for future assignments, understanding how an umbrella company works is vital when deciding which provider to use. There is a lot of information that you need to take on board, and we hope the following summary is useful.
There are plenty of unethical umbrella companies on the market advertising 90% pay retention, and it is more important than ever to do your research and conduct the proper due diligence. Our blog answers the age-old question: what deductions should compliant umbrella companies make to a contractor’s pay?
Contractors who are paid weekly, bi-weekly or every four weeks and whose final payday for the 2018/19 tax year falls on the 5th of April 2019 may be affected by the week 53 payment.
The 2019/20 tax year began on Saturday, 6th April 2019. There are some changes you should be aware of as a contractor (some of which came into effect on 1st April) as you may be affected.