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Tax and PSCs having just separated

1 reply

moneyfornothingandthekids · 16/01/2022 14:11

Help. We have a PSC (started by my DH 10 or more years ago) that we both use for our self-employed consultancy work. We share the tax in it 50/50 - a decision that was made when I was earning very little over the last few years. Now post Covid my work has increased and please god will stay that way. It means that our incomes going into the business are more or less equal. Does this mean that this is now not very efficient or we should be doing something else? We owe an absolute arm and a leg to HMRC - a hole that I have no idea how we are ever going to overcome because we can't put aside whilst we pay off huge amounts every month. I don't know what to do. We are separating and everything feels a mess. I'm trying to get to grips with the enormity of debt which probably means we will sell the house. It's scary. I don't want to ask our accountant as I want to make sure I understand the implications of the question first with everything else going on. I don't feel able to make a decision about anything because we are only just breaking even each month now. Would do appreciate anyone's advice. Thank you.

OP posts:
HebeMumsnet · 16/01/2022 22:16

Evening, OP. Just bumping this for you in case someone is around now who can help

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