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Ltd tax

(7 Posts)
autumnglow Fri 03-Feb-17 14:11:59

Have to set up a self employed and as a LTD company. How much should
I set aside for tax purposes?

OP’s posts: |
Sammysquiz Fri 03-Feb-17 14:36:24

Corporation Tax is charged at 20% of your profits.

autumnglow Fri 03-Feb-17 17:38:35

Thank you. Am I right in that i don't need to set aside NI as a director? Do the rules change in April due to IR35 (I'm not that sure of the rules yet)

OP’s posts: |
Sammysquiz Fri 03-Feb-17 17:42:23

It depends - this is a useful link.
Do you have an accountant?

autumnglow Fri 03-Feb-17 23:54:50

I'll have a look at the link in a bit, yes I have an accountant but haven't used him since informed the company.

OP’s posts: |
HelenDenver Fri 03-Feb-17 23:59:28

how much do you plan to pay yourself? Directors are paid under PAYE and NI is due if salary is over the LEL.

Dividends are less tax efficient than they were, but it may be possible to draw dividends and save NI.

HelenDenver Sat 04-Feb-17 00:00:42

IR35 is about selling your services and whether or not you should be viewed as an employee of your client.

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