Reply to post: Re: Spot the difference

IT contractor has £240k bill torn up after IR35 win against UK taxman

Roland6 Silver badge

Re: Spot the difference

Doesn't Accenture use regular employees to do the work - whatever that might be?

So they pay the full whack of tax

Err no!

Yes an SI/Consultancy will use regular employees (although they might be on zero hours contracts), who will be paid a salary. However, "the full whack of tax" will only be paid on the employee component of the fee, the (typically larger) company slice will be subject to all the usual HMRC sanctioned tax avoidance tricks...

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