Employment Status - Employed or Self-employed?
I am a company director. Am I an "employee" or a "worker"?
(UK relevant - Tax and benefit issues for office holders) (Updated 7 June 2009)
Company directors and company secretaries are "office holders", not "employees" or "workers".
However, if, in addition to being an office holder, you have a contract of employment with your company that spells out the terms of your employment, you are also both an employee and a worker and, as a result, entitled to all of the associated rights and benefits of employment.
For payroll purposes, the tax legislation requires office holders to be treated as if they were employees. As a result, you have to pay tax and employee National Insurance contributions (NICs) through the payroll, just as for employees, and the company also pays employer NICs on your earnings.
More FAQs Related to Employment Status - Employed or Self-employed?
What is the difference between a "contract of service" and a "contract for services"?
Who are "employees" for payroll purposes?
I am self-employed. Am I entitled to holiday pay or any other benefits from my client?
I find work through a recruitment agency. Am I an "employee" or a "worker"?
I am self-employed. Why does my client insist on putting me on the payroll?
My company is a managed service company. Am I an "employee" or a "worker"?
I am subject to IR35 rules. Am I an "employee" or a "worker"?
Do you need further help?
First of all, see if you can find more information by searching elsewhere in PayPerShop.
If that does not help, you may be able to obtain an answer to your question through the PayPerShop Forum. To use this service, please go to PayPerShop Forum.
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