New limited company first year tax returns due. Have I got it right?
Thanks for your time.
Last March I started a company and the company accounts year ends on the 3rd of March. I just want to run by you what I've gathered so far about tax implications for Limited Companies to see if I'm barking up the right tree :)
I'm all up for getting an accountant to do the actual end of year returns but I want to understand my company accounts too!
So based on an example total turnover of £50,000;
Total turnover: £50,000
Salaries (myself and my wife at £442 per week): £10,608
Total expenses: £25,608
Total pre-tax profit: £24,392
Total corporation tax due (20%): £4,878.40
Profit available for dividends: £19,513.60
- Does this look correct?
- I only have to fill in a Limited Company tax return? Or are there more forms?
- Paying ourselves this salary which is the NI threshold, the company doesn't have to pay tax on the salaries?
- My wife and I, we don't have to pay tax on these salaries either?
- I'm able to then give the remaining amount (or a part thereof) to myself as dividends. The company doesn't pay tax on dividends. Do I have to pay tax on those dividends?
- Finally, do we have to fill in a standard self assessment? Or not because we are seen as an employee of the company and the salary is below the NI threshold?
Thanks for your time!
- Tax question about small group and how to set up 215 14
- Accounting Practice acting as an employment agency 185 10
- Incorporation Relief 75 1
- What type of Trust? 137 3
- What is 'an asset' for A/A+B CGT? 122 5
- OBK 566 19
- Instant CPD offer 112 2
- cost of moving out for a few weeks 223 7
- Dividend in specie 103 2
- Investor exit 101 2
- VAT on imports and the Flat Rate Scheme for VAT 88 2
- Withholding Tax - Invoicing Ecuador 155 4
- Flat Rate Scheme - Joining date 76 1
- Auto-Enrolment 3,705 175
- NIC thresholds - two employments 1,744 26
- Sage error message 148 2
- Partially exempt? 175 5
- Twenty signs your practice is bad at tax 521 5
- Mileage claim 256 9
- Proof of Delivery 257 8
- Skandia using wrong address 464
- Does anyone use PS Financials accounting software out there? 269
- FHL, period of grace and Entrepreneur's relief 263
- Employee rewards 256
- Legislation access for part-time sole practitioner? 216
- EPS Analysis - Change to EURO 207
- Rental Property W&T And Equipment 207
- Gift of reversion and lease into trust by two different people - later PPR 190
- Etax Australian 165
- Annual Management Charge Rebates and Self Assessment Tax Return 152