Choosing Your Accountant

Choosing your Accountant is an extremely important decision.

Aside from ensuring your accountant is a contractor specialist who provides you with guaranteed service and proactive tax advice, it is essential to know if they are compliant.

In 2007, HMRC introduced the Managed Service Company (MSC) Legislation. This legislation sets out the parameters of service, support, involvement and advice that can be supplied to contractors operating through their own limited companies. If your accountant or provider fails to meet these requirements, it prescribes that all income you receive from your limited company must be taken with full PAYE deducted, regardless of your IR35 status!

Non-compliance of your Accountant will lead to additional tax liabilities and the recovery of these is always made from you the contractor in the first instance. This legislation is complex, and contractors could unwittingly find themselves subject to additional tax demands as a result of actions taken by their accountant or provider.

If you would like to speak to a member of our specialist compliance team to understand if your current accountant may be unwittingly be putting you at risk, we would be happy to talk to you through this complex legislation in more detail.

First Freelance takes this legislation extremely seriously, on an annual basis every element of our service is meticulously scrutinised and audited by external auditors from regulated top-tier accountancy firm to evidence we are 100% compliant.