Short period before appearing on books
Discussion
Good afternoon,
I am trying to understand a predicament and what is the best solution.
I am beginning work approximately one month earlier than the employer's HR have set me up for on their accounts. As a temporary work around I was going to be employed in my father's business and through that an invoice would be sent to my future employer so I get paid until I go on their books end of next month.
But it appears that I would then fall foul of a 20% corporation tax on the earnings brought in to my father's consulting business, therefore at best I would receive 80% of what was to be paid by the future employer before any relevant tax and NI deductions.
Cutting the query quite short - is it possible to work and be paid directly and make the relevant tax and NI deductions, ultimately avoiding the 20% tax that would occur from invoicing via my father's business?
Regards,
I am trying to understand a predicament and what is the best solution.
I am beginning work approximately one month earlier than the employer's HR have set me up for on their accounts. As a temporary work around I was going to be employed in my father's business and through that an invoice would be sent to my future employer so I get paid until I go on their books end of next month.
But it appears that I would then fall foul of a 20% corporation tax on the earnings brought in to my father's consulting business, therefore at best I would receive 80% of what was to be paid by the future employer before any relevant tax and NI deductions.
Cutting the query quite short - is it possible to work and be paid directly and make the relevant tax and NI deductions, ultimately avoiding the 20% tax that would occur from invoicing via my father's business?
Regards,
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