PAYE or Contractor

I have just been offered a two year Software Engineer contract.

The company say they can take me on as either an employee where they look after all the PAYE/PRSI etc or I can invoice them if I wish but it has to be through a Ltd company (not a sole trader).

Would I be finacially better off if I set up a Ltd company?

What sort of expenses would be viewed acceptable in the revenues eyes (if any)?

I havent talked to any accountants yet.

Tommy McGibney's [broken link removed] might be of interest to you if you are considering the self employed route.

this looks like just what I am looking for. Cheers for that.