Comments on: Tax: limited company vs self employed

By: malcolmcoles

malcolmcoles — Wed, 15 Sep 2010 21:40:16 +0000

Neil - when you run your own business, you usually pay yourself the minimum wage and take the rest of the money out as a dividend. No NI is payable on the dividend.

By: Neil H

Neil H — Tue, 14 Sep 2010 17:58:42 +0000

A worrying question: I know this article says you can save £s by being a limited company, but it seems you are hit twice for NI. Once as an employee, and twice as the employer (Ltd company). This seems to double the amount of a sole trader. Or am I missing something? Kind regards, Neil

By: malcolmcoles

malcolmcoles — Mon, 08 Feb 2010 14:50:41 +0000

You really need to speak to an accountant. There can be tax advantages to being a limited company, but it depends on your turnover etc. But your questions are all very specific, so I would spend a bit of time with your accountant who should be able to help you.

By: hopi leung

hopi leung — Tue, 02 Feb 2010 15:21:28 +0000

I’m a garden farmer and use the grounds of my house to sell plants and garden equipment starting at Dec 2009.
Please would you give me your professional advices on the following matters:

1. Have any tax advantages of incorporating my business and running it through a limited company as a garden centre. If does, what are the best ways to get money out of the company for my personally?
2. Which expenses can be deducted from the profits of the company if it is incorporated?
3. Can I entitle to claim capital allowances against the profits of the garden centre if i spend money on a planteria to house delicate tropical plants?
4. Have any relief against corporation tax will be available if it incurs trading losses in the first year of trading as a limited company?

I look forward to hearing from you and thanks so much in advance.

Kind regards,
HopiLeung