offshore Articles

If you are a contractor or freelancer working in the UK you may have been pitched the tax benefits of paying yourself through an Employee Benefit Trust (EBT).

With an EBT contractors receive just a basic wage equivalent to the Statutory National Minimum Wage. The remainder of their gross earnings go into an EBT, usually offshore. The company making the payment also claims Corporation Tax relief on these payments. The trust then “loans” back the money to the contractor and this loan is not therefore taxable. The loan is never repaid. In effect you receive your wages tax free.

EBT’s have been used from such professions as IT Contractors to Premier League Footballers.

The Chancellor of the Exchequer has just completed his Autumn Statement on how the UK is going to manage it's deficit.

Umbrella Companies featured in Treasury Questions this week with 2 questions from Labour MP’s.

The questions appear to show a misunderstanding about how compliant umbrella companies operate.

A group representing umbrella companies and employment intermediaries held a lobbying event on 11th March at the Houses of Parliament which has hopefully gone some way to clarifying these inaccuracies for those MP’s that attended.

ISS (International Subcontracting Solutions) Limited has come under scrutiny from a BBC investigation titled "State School Teachers Employed by Tax-Avoiding Firm".