With limited companies, business profits belong to that company as a separate legal person and are subject to corporation tax on them; the company’s owner will generally be subject to income tax and National Insurance contributions (NICs) on whatever they withdraw. It is different from a sole trader or partner, who is taxed on their […]
A Painful (Profits) Extraction? Read More »
Trusts can be a very useful planning tool for inheritance tax (IHT) purposes, as well as family and business succession planning. Tax is only one factor, as preservation of the family silver is another potential advantage of trusts; but they are not necessarily always suitable. What are Trusts? A trust exists broadly when the legal
Trusts: IHT Issues and Benefits Read More »
A sole trader looking to expand their business might be weighing up the ‘pros’ and ‘cons’ of a partnership or a limited company. They are very different, with not only very different tax consequences, but functions as well. Partnership A partnership is essentially two or more sole traders coming together for a common venture.
Decisions, Decisions! Partnership Or Limited Company? Read More »
When considering making an investment, two of the main issues are a good return and an exit strategy. As well as the performance of the investment itself, how to hold it is another matter. Personal income tax rates and those on subsequent capital gains tax (CGT) on disposal, and potentially inheritance tax (IHT), may make
Trust or Limited Company? Read More »
