Incorporation Tax Planning

If you are a sole trader or partnership would you like to know when it would be right to become a limited company?

Incorporation Tax Planning will show you the potential tax savings when incorporating your existing sole trader or partnership business.

It will also show you two of the ways of taking money out of a limited company - salary and dividend - and how the tax treatment of each differs.

Please note that the following assumptions are made:

• No income tax allowances are taken into account other than the personal allowance.
• You do not have any other sources of income, and therefore the full lower and basic rate income tax bands are available to you.
• National Insurance calculations are based on the not contracted out rates. If you are contracted out the National Insurance costs will be slightly different. However, it is unlikely to make a difference as to whether you should incorporate or not.

As well as the tax issues there are many more commercial reasons why running your business through a limited company may benefit you. As part of our 'Incorporation Service' we will discuss these with you.

We will also carry out detailed tax calculations as part of this service to ensure you do not pay the taxman a penny more than your fair share.