Contractors Umbrella Company Do I Have To Worry About My Taxes

HMRC Dispensation

A dispensation is simply a working agreement between a company and HMRC. It is a cost saving mechanism for HMRC that helps them reduce the number of tax inspectors.

• A dispensation does not benefit a contractor.
• A dispensation does not mean less paperwork for a contractor.
• A dispensation does not affect what a contractor can claim as a legitimate business expense.

A dispensation is, primarily, a means of reducing HMRC paperwork, through estimating the value of multiple small transactions - rather than itemise every single penny throughout the year.

Process & Procedure

A dispensation benefits a company that is unable to effectively process, record & manage a large volume of data transactions.

Contractors Umbrella Company has sophisticated bespoke software that is capable of handling millions of individual transactions at any one given time, and regardless of the sums involved.

• A dispensation benefits HMRC
• A dispensation benefits a company
• A dispensation does NOT benefit a contractor.