Being your own contractor?
 

Being your own contractor???
Did anybody in the UK ever set up his own contract company and then employ your self?
I am considering doing some contract work for a couple of years and would like the benefits of being able to offset VAT ect.
I know there are some good contract agencies that are willing and capable of helping you but at the end of the day they take a chuck of you salary.
-What do I need to do and
-Where do you need to register a/my company?
Many thanks

If you only "contract" yourself to one employer, you will fall foul of IR35, and particularly find that the new rules in the current budget relating to managed service companies will disadvantage you.

Take a look at this link to find the best advice: http://www.pcg.org.uk/cms/index.php

Many years ago a group of airline pilots thought about doing this, the same arrangement as in many other professions, with a view to changing the "system" & improve the pilots lot in relation to said other professions. The UK Inland revenue said NO. End of story.

Guys, thanks for the info and link. It answered a lot of questions.
Gordon Brown is a right one with his latest changes. The only thing I have to do is find a Jewish employer because what they say about the Dutch (myself) is true, they buy from the Jew and sell to the Scotsman still making a profit. (Probably only pennies in this case)