Hello I'm trying to get an idea of our upcoming tax liabilities and options to reduce the tax burden. I keep records for my husband's Ltd Company. I haven't had much luck in researching this, and will be getting professional advice in the coming months, but would like to get an idea of how tax is calculated. I find on the IND site, corporation tax is 0 on profits up to £10,000, and 23.75% on profits from 10,000-50,000. If the profit is 30,000, is the tax calculated on the entire 30,000 or the 20,000 in excess of the first 10,000? It appears to me to be the 20,000 but I'm not entirely sure. Then, what does the starting rate fraction of 19/400 mean? I've seen talk about taxes, directors, and ltd companies another thread, which was quite heated. Can anyone explain the different requirements of methods the director can take money? There is such a lack of information on this it's pitiful. For instance: 1. Director bonus: subject to PAYE & NICS as I understand? 2. Director dividends: taxed on director self assessment? required to own shares specifified somewhere in Companies House returns? these appear to be profits after coporation tax taxed again as personal income? 3. Found mention of owners withdrawing money, after corporate taxed, what is the tax applied in the example case here? bonus/dividend/self-assment for additional income? (see http://www.kwsheff.f9.co.uk/121212/inc.html) Any explanations are very appreciated, as this is some complex system to get one's small business head around.