Further questions about incorporation
I have a few more questions regarding incorporation of my sole trader mechanic client if anyone can help at all.
1. Is it feasible for him to keep his garage in his own name and rent it out to the company? He thinks commercial rent would be around £500 per week - obviously he would need to declare this via self assessment?
2. On the above subject, is there any benefit to sharing the rental income with his (currently unemployed) wife - apart I suppose from the benefit of the allowance?
3. He has around £50k of equipment/stock in his garage - is this OK to transfer to the new company (debit assets, credit DLA) or would HMRC need to be aware of this amount?
4. He thinks goodwill would be around £30k - again OK to transfer or need HMRC's involvement?
5. Final query - sickness insurance - can this be paid by the company (around £160 per month) as he says it's vital to his business (I guess he would say that) but, if it was, I guess any payout would be taxable income to the company?
Any help gratefully received!
- VAT on Royal Mail Parcel Services 126 8
- CIS Subcontractor Catch Twenty Two Position after 14 years 279 4
- Director Expenses and P11D but no PAYE scheme in place 41 1
- Income Splitting - form 17 and DoT 56 1
- Your comments please 219 5
- CT600 deadline & shortened year end 55 1
- Charity requirements to report ALL I&E in accounts 87 2
- Is there any good reading I can obtain to do self assesment on partnerships? 169 2
- Transfer of Software to sister company 81 1
- CGT history of shares 134 2
- So who has completed a 2015 tax return then? 685 14
- Should a non trustee sign Scottish charity accounts? 189 1
- Ordering same-day transactions 114 2
- As a soletrader taxi service, would purchasing low emissions taxi-cars qualify for AIA capital allowance? 204 2
- Closing my business down 364 20
- Recording Calls 112 1
- Accounting for reversed transaction 94 1
- Scams are not always obvious 2,304 37
- Auto Enrolment - Director Only Answer 1,507 21
- What do you all do in your spare time? 934 36
- Moving away from CCH software 960
- QROP pension input amounts 446
- write off loan or loan to equity swap or both 390
- HMRC BENCHMARK EXPENSES 370
- fraud 292
- EIS relief on transferring shares to spouse 266
- Sole trade business in UK, but the owner works from EU 235
- Construction CIS LLP Company 222
- EPS and CIS deductions 213
- Out of time or not? 199