Question:
I own a company that paid me consultancy invoices from the company's account and now I would like to complete my tax return for 2013/14. Do I need to calculate this income as a deemed employment payment? The company was not registered as an employer back then and I only received £8,000 and paid my wife £2,000 as well.
Arthur Weller replies:
You need to decide whether the conditions and circumstances of the work you did for the company made you an employee or you could be classified as acting in a self-employed capacity. The same applies to the work your wife did for the company. If self-employed, you need to complete the self-employed pages of the tax return. If an employee, I would advise you to ring up the IR35 helpline on 0300 200 3885.
