Clamp down on the tax loop holes for contractors and limited companies.

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Clamp down on the tax loop holes for contractors and limited companies.

Petition Details

Certain contractors are avoiding tax by paying corporation tax at 20pc and taking a modest wage plus dividends from the company, they save on income tax and National Insurance contributions. Some are also able to keep child benefits because their “wage” is under the threshold.

Additional Information

Throughout the course of my career I have seen a major shift in work employment, from employees moving from being permanent PAYE to self employed or contracting predominantly for tax benefits. If we continue down this path of legal tax avoidance, soon there will be nobody permanently employed, declaring a full salary and paying their tax in relation to their actual earnings. Some individuals are actually qualifying themselves for child support by declaring low salaries. This is morally wrong.

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