Client wants to set up a PSC for a one-off contract worth circa £60K. Shares will be split 75:25 between himself and his partner (not married). (Coincidentally my client pays a higher rate of income tax than his partner). The client will carry out the 'professional' work, whilst the partner will carry out admin and support services. Dividends will be paid into their respective individual bank accounts. Assuming no arrangements for the partner's divs to be ultimately returned to my client then am happy that the Settlements legislation will not bite. My question, however, is if it will make any difference if the partner was also a director? I can only think that it might be advantageous if BADR was an issue. Thanks.
19th Jul 2021
Unmarried shareholder, to be or not to be?
Should the joint shareholder (partner but not married) be a director, or won't it make a difference?
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