AIBU to want a stake in the company earning from my work?

[Osakagirl]

I have been working as a freelancer since losing my job about a year ago. I'm based in the UK and I've been working part time for various organisations overseas, invoicing through my husband's company to avoid IR35 complications. He pays me a relatively low wage and contributes to my pension.
Recently I won a much more lucrative contract for 18 days work a month, effectively full time. I won the contract entirely down to my own efforts, they only want my services and there is no other money going into the company other than what we will receive for my services. He wants to pay me the same low wage, which is about 15% of the actual amount that I'll be invoicing. At present I'm not a shareholder or director of the company.

He is keen to ensure that the business is as tax efficient as possible, but at this rate the business will be retaining 85% of profits. I've asked him to make me a shareholder and director, but he wants to wait for the next tax year. I'm worried that I'm very exposed financially, particularly as I am the only person making any money for a company owned entirely by him. I've told him that I won't agree to any contract unless he agrees to make me a shareholder and director, and otherwise I'll set up my own company.

For context, we've been married 15 years, own a house together and have two kids. He is very careful with money and generally makes good financial decisions. However, I have had several friends who have experienced financial abuse and want to ensure that I am protected, particularly as I am bringing in the income. He was not at all happy when I mentioned this, but I said it was to protect me incase he left me or something else happened. Any advice?

Be a sole trader! With a husband willing to enslave you, I think you need to rethink your options OP!

Again I am not an expert but I don't think legitimate umbrella companies pay artificially low salaries to avoid higher PAYE income tax, do they?

They can, perfectly legally.

Okay, thank you. So we're talking tax avoidance, not evasion. Still not right.

Unless you have the same attitude towards grandparents who gift their grandchildren money, people who invest in premium bonds, self employed people who set themselves up as sole directors of small companies and ISA investors, then your moral judgement isn't particularly useful or relevant.

Of course it's relevant. But you don't have to engage with me if you don't want.

I don't have the same attitude towards all of those things because largely, they don't result in tax outcomes that the legislation was never intended to permit.

✨I have posted general advice should she wish to look in to it further✨

Set up your own company if he won't just give you the right to dictate what happens to money you wholly earn. Depending on what you do the tax situation might be very simple for overseas clients, at least for territories like the EU and USA where there are simple tax agreements in place. Get paid in their currencies using a an account like Revolut. I see no benefit to you in this situation. Get your own accountant too.

It's irrelevant because the thread isn't asking for your opinions on the morals of people using relatively vanilla, well known and definitely on HMRC's radar methods to minimise the tax they pay.
Let's not forget this interaction began with you accusing OP of a crime, erroneously.

No, that's not the meaning of relevance. What I'm saying is highly relevant to the topic. You might mean that you don't want to see it, which is fair enough, but a different issue.

It's a public forum. The OP asked if she was being unreasonable.

I didn't technically accuse her of a crime, in the same way that routing wages through someone else's company to avoid paying tax is not technically tax evasion.

You don't need to be interested in my opinion, that's fine. Scroll on. I didn't address you in my original comment and I'm not asking you any questions.

It's relevant to the general topic but not to the question being asked in the thread babe. I'm sorry the subtleties of this are beyond you. You did really accuse her of the crime though - it was very clear by inference. Obviously acknowledging that subtleties of language are beyond you, I imagine this might also escape you.

OP, do you feel that you are short of money each month? Your DH may well be fiscally prudent but you sound miserable

And your latest comments aren't relevant to the OP's problem at all. Things move on, babe.

You can infer whatever you like. For example, I might infer from your increasing rudeness that I've touched a nerve. Babe.

I can tell you the nerve you've touched. I've posted about it on here before. It's an annoyance that people who don't have anything of value to contribute but nonetheless do. It boils down to narcissism and I find it intensely annoying and unattractive. Which is why I responded to it.

Okay. Thank you for telling me about that preference of yours. And for telling me how unattractive you personally find certain comments. And for your conclusion that this is because of my narcissism. Fascinating.