not sure I agree with the double taxation comment. wages you pay yourself are taken from company profits BEFORE company tax is calculated. But if you pay yourself above NI threshold and don’t claim the current exemption, you’ll be paying employers NI as well as employees NI, so that’s not great. Also there’s the horrid dividend tax they introduced, which is a tax on money you pay yourself as a dividend to avoid NI. such fun!
Dividends tax: You pay corporation tax on the profits made. You then pay income on the dividends you take out of the company as dividends. Hence, double taxation
This is a great question, but I’m not sure on the right person to answer it for you. I would always say that you should have a limited company based with most of the activity takes place.
I moved to the UK, and I find it very strange that the finances of private companies are also made public. I tried to Google why this law was created, but I don't find an answer. Now I'm asking, how such a law was passed??
It’s just the way that UK law works. I know that if I switch a switch a light comes on. I don’t need to know why. I just need to know it does it that way. You are not going to charge it
I am a buy to let landlord through limited company - How do treat the cost of intial purchase of domestic items( not replacement)? - Can be claimed as expenses or capital allowance for Ltd ? Many thanks in advance
not sure I agree with the double taxation comment. wages you pay yourself are taken from company profits BEFORE company tax is calculated. But if you pay yourself above NI threshold and don’t claim the current exemption, you’ll be paying employers NI as well as employees NI, so that’s not great. Also there’s the horrid dividend tax they introduced, which is a tax on money you pay yourself as a dividend to avoid NI. such fun!
Isn’t that what double tax is? First corporation tax then income tax on dividends.
You don't pay corporation tax on the money given out as income. You'll just pay the income tax.
Dividends tax: You pay corporation tax on the profits made. You then pay income on the dividends you take out of the company as dividends. Hence, double taxation
What is a Ted reports for residential properties you mentioned at 3:29?
ATED reports is to notify HMRC if you have purchased a residential building for personal use over £500,000
Thank you
@anna3046 you are very welcome 🙏
In your opinion is better a LTD in UK o Ireland for a non resident? The business who want to create is motion picture and distribution movie company.
This is a great question, but I’m not sure on the right person to answer it for you. I would always say that you should have a limited company based with most of the activity takes place.
I do think public disclosure can be weird. Anyone can dig up your info on the internet.
I agree with you
I moved to the UK, and I find it very strange that the finances of private companies are also made public. I tried to Google why this law was created, but I don't find an answer. Now I'm asking, how such a law was passed??
It’s just the way that UK law works. I know that if I switch a switch a light comes on. I don’t need to know why. I just need to know it does it that way. You are not going to charge it
I am a buy to let landlord through limited company - How do treat the cost of intial purchase of domestic items( not replacement)? - Can be claimed as expenses or capital allowance for Ltd ? Many thanks in advance
Any new items will be capital in nature
Thank you for your prompt reply as always.
If capitalised the domestic item then can claim capital allowance ?
Only sometimes and it depends on the item and on the property type. single let properties do not benefit from capital allowances
can my children be included as directors/shareholders in a UK Ltd Company?
With anything this sophisticated, I would advise you get Tax advice from your accountant before you do anything