Contracting through a limited company
4 steps to working through a limited company for contractors
Step 1 – form a limited company. Typically this takes 30 minutes to do, and you can have your limited company within 3-5 days. We charge €199 for this service, and this is tax-deductible for you. You can see some more information here : https://osamcquillan.ie/about-us/start-a-company-in-ireland/
Step 2 – open a bank account. We can facillitate this through an introduction to a local bank, or you can make your own arrangements.
Step 3 – register for all taxes. We can help you with this and again our fee for this is €660 this time VAT is extra. We will make sure you register for all taxes that you need to. This takes up to 6 weeks, as Revenue need to check all details for the company
Step 4 – appoint us as your accountants.
We can help with the following services as your accountant:
- Send you Company Year-End Accounts which will be to be given to you within 30 days of us getting all the key data from you.
- Send Abridged Company Accounts if needed.
- Director’s tax return. The first income tax return that we will be file with is for the year ending 31st December 2017.
- Corporation Tax filing.
- Sort out VAT returns.
- Dealing with the Revenue Commissioners.
- Dealing with Companies Office.
- Payroll admin.
- Electronic filing of P35 Form End of Year Payroll Return.
- Tax and accounts advice meaning you can get help when you need it.
You will need to invoice your client or agency (we provide you with free software to do this ), send us your sales and purchases through a dedicated email address, send us copies of your bank statements, send any letters you get from the Revenue or the Companies Office to and we will look after them. You will also need to pay income tax ( PAYE ) and VAT . You also have to pay yourself every month fom your business bank account into your personal account. We can tell you how much to pay yourself net each month. You can see how we can help you if you appoint us to act as your accountant – details are here
Revenue has changed their practises on contractors who in Revenue’e view are trying to evade paying tax. The result is that there are now only two real options for contractors who live, work and get paid in Ireland:
1.Work through a PAYE umbrella company and pay full PAYE, PRSI and USC on their entire earnings, or
2.Operate through their own limited company, which remains the most tax efficient solution available.