Pay Angels- Umbrella Company- any used them?
Discussion
I have had contact from a company called Pay Angels, who promise to save me money.
Basis of the deal is I am a contractor and I would be employed by Pay Angels, they would invoice my agent and pay me a set amount per month on which I would pay tax and NI, the remainder less their fees, would be paid into a trust from which I would get loans which would never be paid back.
I have heard of this kind of thing before and thought this loophole had been closed. Rangers Football Club got into bother with the tax man over it but so far the tax man is losing, or so I believe.
The chap I spoke to assures me it is legal and 'compliant' though what it complies with I don't know.
So anyone any experience of this or similar company, is it legal ?
Basis of the deal is I am a contractor and I would be employed by Pay Angels, they would invoice my agent and pay me a set amount per month on which I would pay tax and NI, the remainder less their fees, would be paid into a trust from which I would get loans which would never be paid back.
I have heard of this kind of thing before and thought this loophole had been closed. Rangers Football Club got into bother with the tax man over it but so far the tax man is losing, or so I believe.
The chap I spoke to assures me it is legal and 'compliant' though what it complies with I don't know.
So anyone any experience of this or similar company, is it legal ?
Corpulent Tosser said:
I have had contact from a company called Pay Angels, who promise to save me money.
Basis of the deal is I am a contractor and I would be employed by Pay Angels, they would invoice my agent and pay me a set amount per month on which I would pay tax and NI, the remainder less their fees, would be paid into a trust from which I would get loans which would never be paid back.
I have heard of this kind of thing before and thought this loophole had been closed. Rangers Football Club got into bother with the tax man over it but so far the tax man is losing, or so I believe.
The chap I spoke to assures me it is legal and 'compliant' though what it complies with I don't know.
So anyone any experience of this or similar company, is it legal ?
When they're holding thousands of your hard earned and then go t*ts-up where do you stand?Basis of the deal is I am a contractor and I would be employed by Pay Angels, they would invoice my agent and pay me a set amount per month on which I would pay tax and NI, the remainder less their fees, would be paid into a trust from which I would get loans which would never be paid back.
I have heard of this kind of thing before and thought this loophole had been closed. Rangers Football Club got into bother with the tax man over it but so far the tax man is losing, or so I believe.
The chap I spoke to assures me it is legal and 'compliant' though what it complies with I don't know.
So anyone any experience of this or similar company, is it legal ?
In the queue for the foodbank, that's where.
Forget it, too good to be true.
Corpulent Tosser said:
I have had contact from a company called Pay Angels, who promise to save me money.
Basis of the deal is I am a contractor and I would be employed by Pay Angels, they would invoice my agent and pay me a set amount per month on which I would pay tax and NI, the remainder less their fees, would be paid into a trust from which I would get loans which would never be paid back.
I have heard of this kind of thing before and thought this loophole had been closed. Rangers Football Club got into bother with the tax man over it but so far the tax man is losing, or so I believe.
The chap I spoke to assures me it is legal and 'compliant' though what it complies with I don't know.
So anyone any experience of this or similar company, is it legal ?
You will find its legal in the sense that its registered as a tax avoidance scheme. However, that does not mean HMRC have accepted the scheme.Basis of the deal is I am a contractor and I would be employed by Pay Angels, they would invoice my agent and pay me a set amount per month on which I would pay tax and NI, the remainder less their fees, would be paid into a trust from which I would get loans which would never be paid back.
I have heard of this kind of thing before and thought this loophole had been closed. Rangers Football Club got into bother with the tax man over it but so far the tax man is losing, or so I believe.
The chap I spoke to assures me it is legal and 'compliant' though what it complies with I don't know.
So anyone any experience of this or similar company, is it legal ?
http://www.sjdaccountancy.com/about/ebt_employee_b...
The BBC keep on plugging away at how mean it is that tax free contractor loans made by umbrella companies are being called in by HRMC on Radio 4 and now they have this emotive article
https://www.bbc.co.uk/news/business-49284171
I'm guessing that the BBC used these schemes to pay their employees and so have a vested interest in getting this repealed.
I used an umbrella scheme in 2013 (was forced to as wouldn't have got the job otherwise) and thought it was too good to be true but haven't heard anything yet from HRMC, I wasn't earning too much back then and it was only for a few months so if I do have to pay the full rate of tax I can absorb it.
I thought there was a longer thread on contractor loans being called in already running but couldn't find it via google/pistonheads search but this one came up, bumped it instead of creating a new one as it looks like this thread was quite prophetic.
https://www.bbc.co.uk/news/business-49284171
I'm guessing that the BBC used these schemes to pay their employees and so have a vested interest in getting this repealed.
I used an umbrella scheme in 2013 (was forced to as wouldn't have got the job otherwise) and thought it was too good to be true but haven't heard anything yet from HRMC, I wasn't earning too much back then and it was only for a few months so if I do have to pay the full rate of tax I can absorb it.
I thought there was a longer thread on contractor loans being called in already running but couldn't find it via google/pistonheads search but this one came up, bumped it instead of creating a new one as it looks like this thread was quite prophetic.
Edited by untakenname on Wednesday 14th August 10:10
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