Webinar

[supermumy]

Just done my 1st webinar (tax and expenses one) must say I enjoyed it and its a good way of learning whilst I put kids I bed than done washing up and even asked a question :)

[catlyn]

I did this too tonight....got very confused woth the answer I got to the question I asked about assistants......I have to register as an employer because I employ my daughter as my assistant...even though she is self employed in her own right???....They said the only way she can be self employed is if she was also a childminder

[sarah707]

That's not what I understood them to say on mine Catlyn.

I have always been told by HMRC (and believe me I have checked a number of times over the years) that as long as they don't work exclusively for me assistants can be self employed.

I always advise people to ring and get their own answer it definitely seems to be a very grey area :D

[catlyn]

Sarah...I did challenge them several times and was given the same answer each time...she can only be self employed if shes a childminder and I must inform them I am now an employer....
here is a copy of the questions I wrote but they also answered me verbally a couple of times saying the same thing :-(

Audience Question:
Q: if you take on an assistant can they also be self employed or do you have to have employer status
A: Hi If you have an assistant they would be treated as an employee and you would be the employer

Audience Question:
Q: what implecations are there for me as an employer
A: Hi you would need to register as an employer and open a PAYE scheme hope this helps karen


they directed me towards this link which will double check for me HM Revenue & Customs: Employment Status Indicator (http://www.hmrc.gov.uk/calcs/esi-01.htm)

[babs]

if you have assistant that works for you and is seeking work else where they can be self employed, I want to set my friend on as assistant and rang them as she also works 4 evening and very early mornings as a cleaner and this is what I was told she can be self employed as she does not work for me solely..

[catlyn]

that was my understanding too Babs until this webinar last night told me something completely different.....on hold to HRMC at the min gonna ask them for clarification

[babs]

this question does not say your assistant works else where as well..

Sarah...I did challenge them several times and was given the same answer each time...she can only be self employed if shes a childminder and I must inform them I am now an employer....
here is a copy of the questions I wrote but they also answered me verbally a couple of times saying the same thing :-(

Audience Question:
Q: if you take on an assistant can they also be self employed or do you have to have employer status
A: Hi If you have an assistant they would be treated as an employee and you would be the employer


Audience Question:
Q: what implecations are there for me as an employer
A: Hi you would need to register as an employer and open a PAYE scheme hope this helps karen


they directed me towards this link which will double check for me HM Revenue & Customs: Employment Status Indicator (http://www.hmrc.gov.uk/calcs/esi-01.htm)

[catlyn]

I spoke to them last night in the webinar and told them she wrked elsewhere has her own business pays her own tax and NI ...they said it didnt matter still need to "employ" her as she needs my reference number to enter on her records...just spoke to someone 5 mins ago and he said the same.......went of to get clarification and cut me off!!!!!! i'm currently back in the queue

[babs]

maybe depends on hours I only want mine to do as and when required can let her know week before..

[catlyn]

grrrrrrr.....got through and she told me what I thought...as long as she is actively seeking work elsewhere then i'm not an employer.....but when I told her I was told different stuff by different people she started to doubt herself....gave me the employers telephone helpline number...told me to ring them.....guess what?? I'm in another queue!!!!

[catlyn]

maybe depends on hours I only want mine to do as and when required can let her know week before..

thats the same as me...shes my daughter so I let her know the night before :D...her owm business is evening work (dance classes)

[catlyn]

right....have just spoke to someone at the employer helpline 03002003200 he said we HAVE TO REGISTER AS EMPLOYERS if the person we employ has another income..... as we need to take off the basic rate of tax before we give them any money...its classed as a second income for them and therefore liable to BR tax...... if they dont earn enough at the end of year to pay tax then we will get another reference number to enable us to issue a refund. I explained ny circumstances...my DD has her own business, is self employed and doesnt earn enough to pay tax but he said it makes no difference ...I have to be an employer as I pay her a wage :panic:

[babs]

my friend isn't self employed she works for someone else to and already pays tax n insurance, maybe that is why she can register as self employed to do work for me..

right....have just spoke to someone at the employer helpline 03002003200 he said we HAVE TO REGISTER AS EMPLOYERS if the person we employ has another income..... as we need to take off the basic rate of tax before we give them any money...its classed as a second income for them and therefore liable to BR tax...... if they dont earn enough at the end of year to pay tax then we will get another reference number to enable us to issue a refund. I explained ny circumstances...my DD has her own business, is self employed and doesnt earn enough to pay tax but he said it makes no difference ...I have to be an employer as I pay her a wage :panic:

[catlyn]

I think we should all take resposibility for our own decisions and ring the tax office ourselves as each circumstance seems to be different...that way no one can be given the wrong advice.....its a minefield and I think the tax office need to sort themselves out tell everyone the same advice...it really does depend on who you get on the end of the phone

[catlyn]

my friend isn't self employed she works for someone else to and already pays tax n insurance, maybe that is why she can register as self employed to do work for me..

It shouldnt make a difference as your money you give her will be classed as second income and therefore liable for basic rate tax

[loocyloo]

I had a contract with my assistant for occasional work and she would invoice me each month for hours worked and I would pay her. She had lots of different jobs and it was up to her about tax and NI.

[catlyn]

loocyloo...they told me today if thats what I did then I would be an employer and would have to take her tax off any earnings....makes no difference that she is already self employed...its classed as a second(or third/fourth) income and therefore needs taxing at source

[sarah707]

Catlyn you are absolutely right - we must all take responsibility for asking and finding out about our own individual and unique circumstances.

I also suggest you write down the name of the person to whom you speak, the date, the time - and keep the details.

:D