UK Ltd, director's salary threshold of 12k GBP

[Larin]

Just to add to @Sols comment, here is a pretty extensive article about keeping a non-UK tax status for companies: Maintaining non-UK tax residence, but indeed, independent advise is essential for such things.

Drawing revenue as salaries is a pretty common way to reduce CIT liability, but keep in mind that it would have to be market rates and could only work up to certain amount and in many cases isn't the most tax efficient way (dividends might be a better way). But, again, advice from an accountant will be key here to decide what's best.

 

[fshore]

Just to add to @Sols comment, here is a pretty extensive article about keeping a non-UK tax status for companies: Maintaining non-UK tax residence, but indeed, independent advise is essential for such things.

That article mostly refers to non UK incorporated companies.

 

[Martin Everson]

Let's say I've drawn all the *revenue* as my salary. There was a little of it because I mostly work directly rather then via my company.

Therefore, if it's all been payed as salary, then LTD has had no profits. No profit = no UK corporate tax. Right?

See my response to similar below question.

Take bonus instead of dividend from UK company when living in tax free country.... Possible?

We currently live on the tiny island of Sark which many of you will know has no personal tax (see my previous posts if you want the low down on Sark). Myself and my wife are directors of a Uk company, we have just put ourselves on the payroll as we may want a mortgage at the end of the year...

www.offshorecorptalk.com

 

[Samman Kaseeb Sleiman]

Quite helpfull, thanks.


Another question:

if I do some bisiness work for someone who is a resident of UK, via my UK company that is -- will that overcomplicate things in terms of taxes? Meaning, in case of

a) LTD

or

b) LLP (one member of which is my UK LTD, with 0% sign. control; or 25% - I don't remember )


For LTD it shouldn't because I'd pay taxes anyway, whether my client is, or isn't, UK resident. But for LLP it can bring a liability to pay taxes for that particular job. Right?