Tax on a company in the UK

[Matthew]

The associated companies rule is just for corporation tax, right?

I'm pretty sure everything else I've said is perfectly fine. I just might pay extra corporation tax if my overall profits reach a certain threshold, but there are always ways in which you can mask profits.

[akirk]

always ways in which you can mask profits.

be careful - some are legal - many are not...
VAT also works across associated companies...

Alasdair

[Trythemon]

Hi Matthew

I work for a national firm of accountants so PM me if you want and I can give the details of the nearest office. You definately need an accountant. You need to set up a Limited Company which will cost around £50.00, if you are making a profit you will pay corporation tax. You can also draw a dividend instead of a salary which means you will pay less tax and national insurance, but you will need an accountant to set all that up for you. They will charge you a fee for doing that. Make sure that the firm you choose have a good understanding about tax avoidance for SME's which is what you are (not tax evasion that is illegal)

Susann