Reply to post: Re: Greedy communist HMRC

20% of UK businesses would rather axe their contractors than deal with IR35 – survey

Anonymous Coward
Anonymous Coward

Re: Greedy communist HMRC

@Jackr - not my experience. I run a limited company. I pay myself the "director's" salary of bugger all and take the rest out in dividends. Overall I pay about the same tax as I would if I paid myself a full salary - very approximately (corp tax + divi tax) is in the same ballpark as income tax on salary would be if I took it all as salary. What the exchequer loses is employer NIC (12.5%?) and employee NIC (9%?) - which is a fairly hefty chunk of money to lose.

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