adam30 started this topic @ 12:11 on 07/04/2008
RE: LLP OR LIMITED COMPANY
Peter W | 07/04/2008 09:19 PM
With an LLP, the profits are divided between the partners, and they then pay tax on their share, according to their own personal tax positions. This is similar to your situation now.
With a limited company, the company pays corporation tax at a rate which varies between 21% and 30%, depending on the level of its profits. Profits left after tax can then be paid to shareholders as dividends. Higher rate tax payers will have further tax to pay on these dividends.
There are plenty of examples on the HMRC website at http://www.hmrc.gov.uk/, but they are not very accessible. Did you have a specific query?
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