All Umbrella Companies are Equal want to hear from Contractors
All Umbrella Companies are Equal (AUCAE) have launched a survey so that contractors can have their say on any concerns they may have about the Government’s proposed changes to tax relief on travel and subsistence that were announced in Budget 2015.
The Government has announced it may restrict tax relief on travel and expenses for some contractors where they cannot demonstrate they have control, supervision or direction of their own work.
The changes may affect you if you work through an umbrella company or your own limited company. Changes would not happen until April 2016 and could change subject to the outcome of the General Election.
The Government feel that in this case contractors should be treated the same as permanent staff who are also working at the same location.
This however completely ignores the fact that many contractors travel considerable distances to take assignments and are in no way comparable to a permanent employee. They are taking a short term role and do not have the luxury of always working near home like permanent staff have when they take a position.
If a permanent employee was asked to travel for 3 months to a new short term location to complete a project or fill a vacancy then they would benefit from relief on the costs of travel and subsistence. Why not a contractor??
The effect of this change could be that some contractors would not be able to afford to take assignments requiring travel.
If you are a contractor and want to voice your concerns the survey is available at:
Umbrella.co.uk is a member of All Umbrella Companies are Equal and can be contacted on 0800 121 6513 or firstname.lastname@example.org.