IR35 and off-payroll reviews
We assess each contract and how you actually work, so you know whether you are inside or outside IR35 and what it means for your take-home.
IR35, dividends and year-end accounts handled by a specialist who knows how your day rate really works.
You win the contracts, we handle the rest. As a specialist contractor accountant for limited company contractors, we take IR35, payroll, VAT and your year-end accounts off your plate. Inside IR35, outside it, or weighing up an umbrella? We know the difference, set your salary and dividends sensibly, and keep you the right side of HMRC. Book a call with an accountant for contractors who understands the day-rate world, on one fixed monthly fee.

Most accountants are good with shops and trades. Contracting is a different world. Your money comes in as a day rate through a limited company, and the tax planning is not like a normal small business.
Get IR35 wrong, draw dividends the lazy way, or miss an expense, and you hand HMRC money you never needed to pay. Most people find out too late to fix it.
A specialist contractor accountant works the other way round. We know the day-rate model, the off-payroll working rules and the salary and dividends split, so we plan ahead instead of just filing last year. We do not only record your numbers, we improve them.
We assess each contract and how you actually work, so you know whether you are inside or outside IR35 and what it means for your take-home.
Full year-end accounts, Corporation Tax and the Confirmation Statement for your personal service company, filed on time.
We set a sensible director salary and handle the dividend paperwork, so you draw your profits the efficient way and stay compliant.
Registration, quarterly returns and a check on whether the Flat Rate Scheme or standard VAT leaves you better off.
Home office, equipment, travel between sites, training and more, all claimed correctly against your company.
Moving from an umbrella or another accountant? We handle the handover and your records so nothing drops between contracts.
We act for limited company contractors and freelancers right across the UK, working online, so where you live never changes the service or the fee. You get a contractor accountant UK wide, not only in London, and you keep the same named accountant wherever you trade.
From our base in Hammersmith, we are the contractor accountant London and UK-wide clients rely on, and you are welcome to meet us in person. Most clients never need to, because everything runs online.
Most of our clients are IT and tech contractors, the biggest group in the market. We also look after engineering, energy and consulting professionals. Here is a useful detail: most IT and tech contractors are labour-only, which makes them limited cost traders under the VAT Flat Rate Scheme (FRS), so the flat rate rarely beats standard VAT. As an IT contractor accountant, we run that comparison rather than assume.
IR35, the off-payroll working rules, stops people working like an employee while being paid like a company. It is the biggest single factor in your take-home pay.
Outside IR35, you run a real business. You pay yourself a small salary, take the rest as dividends, and claim your expenses. Inside IR35, most of your contract income is taxed like a salary, so the limited company advantage mostly disappears.
Your status is not your choice alone. It depends on how you really work: your right to send a substitute, who controls the work, and whether you carry business risk. For medium and large private-sector clients, the end client decides and must give you a Status Determination Statement (SDS). For small clients, you assess it yourself.
As your contractor accountant, we review each contract and how you actually work before you sign. Where the answer is borderline, we tell you plainly. We inform your decision, but only a proper review of your working practices can determine your status, so we never guess.
An umbrella company employs you and runs your pay through PAYE. It is simple, and for short or inside-IR35 contracts it is often the sensible, honest choice. You are taxed as an employee and you pay the umbrella fee.
Your own limited company, a personal service company (PSC), gives you control and, on outside-IR35 work, a more efficient way to take your income. The trade-off is more admin: year-end accounts, Corporation Tax, a Confirmation Statement and director payroll.
Your contractor accountant models both on your real day rate and contract, then tells you which one leaves you better off. If an umbrella is the better call, we will say so.
Most contractors are not caught out by the tax rate. They are caught out by the gap between the day rate they quote and the money that reaches their account after tax, National Insurance and their trading structure.
Illustrative example, 2026/27, outside IR35. You bill £350 a day for 180 days, so your company invoices £63,000. Take a director salary of £12,570 and £2,430 of business expenses, and £48,000 of profit is left. The company pays Corporation Tax at 19 per cent on that, which is £9,120, leaving £38,880 to draw as dividends.
Those dividends are taxed at the dividend rates, 10.75 per cent in the basic band and 35.75 per cent in the higher band, once you pass the £500 dividend allowance. On the same contract inside IR35, almost all of that £63,000 would be taxed like a salary, and you would keep less. These are illustrative figures to show the shape, not a quote.
Your contractor accountant runs your real numbers with you on a call. You can also try our salary and tax calculators for a quick estimate first.
Through your own company you do not just take a wage. The company pays Corporation Tax on its profit. You then draw money as a mix of salary and dividends.
A modest director salary keeps your National Insurance record going and is usually a cost the company can deduct. The rest comes out as dividends. Dividends are taxed differently from salary, and only after Corporation Tax is paid.
Get the split right and you keep more of your day rate, legitimately. Get it wrong and you either overpay tax or vote a dividend the company cannot support, which stores up trouble.
We set your salary, run your director payroll and prepare the dividend paperwork properly, so every payment is recorded the way HMRC expects. This is the day-to-day work of a good accountant for contractors.
More than you might think, but only what is genuinely for the business. The rules tighten inside IR35, so claiming correctly matters.
Travel is where people slip up. Mileage uses the Approved Mileage Allowance Payments (AMAP) rates above. A site also stops being temporary once you expect to be there for more than 24 months, the 24-month rule, and the travel claim then stops. Your contractor accountant checks each claim rather than waving it through, and keeps your VAT right on what you buy.
Contracting runs on a rhythm of deadlines. VAT every quarter, payroll every month, a Confirmation Statement once a year, then your accounts and Corporation Tax after your year-end. Miss one and the penalties add up fast.
Your contractor accountant sets up your bookkeeping so invoices, expenses and receipts flow in as you go, not in a rush before each deadline. That keeps your VAT returns right and your numbers live.
If you have income outside your company, we handle your personal Self Assessment too, including the dividends you have drawn, so the whole picture ties up.
Yes, and you do not have to wait for your year-end. Switching contractor accountant mid-contract is routine, and a good one makes it painless.
We contact your current accountant for professional clearance and your records, pick up your bookkeeping where it stands, and make sure no VAT return, payroll run or filing deadline slips during the handover.
You keep contracting as normal. We sort the paperwork in the background and confirm once everything has moved across cleanly.
Not every accountant understands contracting, and the wrong one costs you far more than their fee. Before you sign up with anyone, hold them to these six things. We built Zmartly to pass every one.
If someone cannot give you a straight answer on these, keep looking. We aim to be the accountant contractor forums quietly recommend, the specialist rather than the generalist.
One fixed fee covers the whole cycle, with no surprise bill at the year-end. Every plan includes:
You get a fixed-fee contractor accountant and online access to your numbers, from £129 a month with a 30-day money-back guarantee. The tiers are below.
Most limited company contractors pay between £129 and £250 a month. That covers your accounts, payroll, VAT and the IR35 support that matters most.
No hourly rates. No surprise bills. No long tie-in. One fixed fee, a named qualified accountant who knows contracting, replies within 72 hours, and a 30-day money-back guarantee.
Startups and small companies that need essential compliance and year-end support without VAT or payroll.
Growing businesses that need complete accounting services, VAT return management, and payroll handling.
Established businesses that want strategic mentoring, business planning, and a part-time finance director driving growth.
It turns on whether you'd be an employee if you worked for the client directly, judged on control, personal service (can you send a substitute?), and mutuality of obligation. For medium and large clients the client decides and must give you a Status Determination Statement; for small clients and many overseas engagements the responsibility stays with you and your company. We review the written contract and how you actually work, because HMRC looks at both.
Often not, since 2017. If your VAT-inclusive spend on goods is under 2% of turnover, or under £1,000 a year, you're a limited cost trader and must use the 16.5% rate, which leaves almost no FRS gain. Most consultants and IT contractors are labour-only and fall into this. We run the comparison on your real figures rather than assuming the old sector percentage still helps.
Typically a modest director's salary that still counts toward your state pension, topped up with dividends. Dividends above the £500 allowance are taxed at 10.75% in the basic band, 35.75% in the higher band and 39.35% above that, and they must come from genuine retained profit after Corporation Tax. We model your specific income each year so you don't overpay or vote an illegal dividend.
When your VAT-taxable turnover exceeds £90,000 in any rolling 12 months, or you expect to in the next 30 days. Some contractors register voluntarily below that to reclaim input VAT or look established to clients. We watch your rolling total so you register on time and avoid late-registration penalties.
Travel to a temporary workplace is allowable, but a site becomes permanent once you expect to spend more than 40% of your time there for over 24 months, after which the relief stops. You can claim 55p a mile for the first 10,000 business miles and 25p after, plus a reasonable home-office cost and overnight subsistence when staying away. We keep the records HMRC expects to see.
19% on profits up to £50,000, the 25% main rate above £250,000, and an effective rate between the two via marginal relief in between. Those thresholds shrink if you have associated companies, which catches contractors with more than one company, so we check that before filing.
Everything, on a rolling monthly basis with no long tie-in: bookkeeping, VAT, payroll, company accounts, Corporation Tax and your personal Self Assessment, with a named qualified accountant who replies within 72 hours. Pricing is fixed at £129, £250 or £499 a month depending on your needs, backed by a 30-day money-back guarantee.
Yes. You work with a named, qualified accountant who knows your contracts and your numbers, rather than a general inbox and a different person every time. You can email or call them directly, and your questions are included in the fixed fee rather than billed as extras.
We work with the main cloud platforms, FreeAgent, Xero and QuickBooks, set up for a contractor limited company so your invoicing, expenses and Making Tax Digital records stay in one place. If you already use one, we pick it up. If not, we recommend the right fit for how you contract.
Yes. A large share of our contractor clients are IT and technology contractors, alongside engineering and management consultants, creative freelancers and medical locums. The day rate and contract terms differ by sector, but the IR35 and limited company rules that decide your take-home are the same, and that is what we handle.
Yes. We are based in London but act for contractors right across the UK, working entirely online. Whether you contract in the City, elsewhere in the country or fully remote, you get the same fixed fee, the same named accountant and the same IR35 support.
Usually within a few days, and you do not need to wait for your year-end. We handle the professional clearance and records request with your old accountant, pick up your bookkeeping where it stands, and make sure no VAT return, payroll run or filing deadline slips during the handover. You keep contracting as normal.
Plain-English explainers, kept current with the latest HMRC rules.
Zmartly Ltd · 12 Hammersmith Grove, London W6 7AP · 020 8175 5145 · [email protected]
CIMA-regulated. Qualified accountants (ACMA, CGMA, ACCA, FCCA).