July 2010 | Issue 9  
 Front Page  Your monthly networking publication from DPA Marketing No2

Find a local Networking Event near you
  • Search our directory of networking events across the UK
Check out Marketing and PR Tips
Need to improve your marketing efforts?
Arrange a consultation for the price of a coffee

IBD - Internet Business Directory

• Learn More
Guest Articles
Have you something you wish to share with everyone?
Check out our Business Video Clips:
  • Learn More

Boom in small businesses but with a legal sting in the tail

A record number of people will become self-employed this year.

With the UK facing high unemployment, the Federation of Small Businesses (FSB) is expecting a boom in people going it alone this year.

As unemployment continues to be a worry, the FSB is expecting a record 300,000 people to become their own boss this year and set up their own small business. This will not only help grow the economy but could in turn create more jobs as these small businesses flourish.

However, the FSB is concerned that those that do become self-employed are penalised by the taxman if they go on to work for other companies. If you are working from home as a plumber, hairdresser or interior designer you probably won't be affected, but if you are contracted to work for another company for say three months, the taxman will want to put you into the PAYE bucket and turn your legal status from self-employed to that of an employee.

The FSB is calling on HMRC to respect a declaration of self-employment as just that. HMRC must check within a six-month timeframe whether the entrepreneur meets the criteria for self-employment. Once their self-employed status has been accepted the applicant must be considered as self-employed unless a material change has taken place.

John Walker, National Chairman, Federation of Small Businesses, said:

"Unemployment continues to be a worry for everyone, and this year we are expecting more people to become their own boss and go it and alone by setting up in business, which will both help the economy grow and tackle unemployment as these businesses flourish.

"However, those who do become self-employed need to beware of the tax man who is penalising these people when they work for other companies, putting them in the PAYE bucket and turning their legal status from self-employed to an employee. The FSB is calling on HMRC to respect peoples wishes to be self-employed and for the HMRC to cease their tactics in pushing people into the PAYE net." 

The FSB is the UK's leading business organisation with over 213,000 members. It exists to protect and promote the interests of the self-employed, and all those who run their own business. More information is available at www.fsb.org.uk



Refer a Friend

If you know a colleague who would like to receive this magazine, please Click here
 
Would you like to appear in a future addition of



• contact us

My Business Magazine is produced by M3 Publishing Ltd. Copyright 2007 


If you wish to change your email address, please click here.
If you do not wish to receive future magazines, please click unsubscribe. 

All rights reserved. Except for normal review purposes, no part of this communication may be reproduced without the written permission of the publishers. Every care is taken in the preparation of this communication, but the contents are only meant as a guide to readers. The proprietors of this publication and My Business Magazine cannot be held liable for any loss suffered as a result of information gained from this publication.
Copyright 2007 M3 Publishing Ltd.