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  1. #1

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    abc111 has no reputation


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    Default limited company contracting

    hi
    i am a limited company and trying to find out ways to save the tax and maximise the take -home payment. Please would users suggest how to achieve it. my chartered accountant is cheap but somewhat useless.
    I would like to included items such as :
    car
    home
    electrical fixtures and services installation
    laptop and printer
    diesel/ fuel

    please suggest
    thanks.

  2. #2

    My post count is Majestic

    northernladuk is always on top

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    You read the newbies guide to the right and if you have any questions you use the search function in the welcome forums.

    You also get yourself a good contractor accountant that uses FreeAgent. There is a stickied thread with accountant recommendations.

    This is something you'll have to do. There is far too much for us to cover for you and we don't need to. Plenty of documentation for you to digest and your accountant to speak to.

    Oh and google is your friend.
    Last edited by northernladuk; 2nd October 2016 at 18:28.
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  3. #3

    More fingers than teeth

    scooterscot is a fount of knowledge

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    Your options are very simple. They are life style choices really.

    a) As a very simple rule to saving tax using a Ltd: take out as little cash as is possible from the company. Wind it up n years later and enjoy the windfall.

    b) Personally I'd rather live whilst I'm earning. That means paying tax. You could withdraw to the upper limit using a combination of dividends + minimum salary.
    “We've always defined ourselves by the ability to overcome the impossible. And we count these moments. These moments when we dare to aim higher, to break barriers, to reach for the stars, to make the unknown known. We count these moments as our proudest achievements. But we lost all that. Or perhaps we've just forgotten that we are still pioneers. And we've barely begun. And that our greatest accomplishments cannot be behind us, because our destiny lies above us.”

  4. #4

    More fingers than teeth

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    Quote Originally Posted by abc111 View Post
    my chartered accountant is cheap but somewhat useless.

  5. #5

    Lord of the Vectras

    VectraMan - scorchio!

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    Quote Originally Posted by abc111 View Post
    hi
    i am a limited company and trying to find out ways to save the tax and maximise the take -home payment. Please would users suggest how to achieve it. my chartered accountant is cheap but somewhat useless.
    I would like to included items such as :
    car
    home
    electrical fixtures and services installation
    laptop and printer
    diesel/ fuel

    please suggest
    thanks.
    How about:
    holidays
    clothes
    food
    school fees
    TV
    entertainment
    beer
    gifts
    Will work inside IR35. Or for food.

  6. #6

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    kaiser78 is NOT a disguised employee


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    Quote Originally Posted by abc111 View Post
    hi
    i am a limited company and trying to find out ways to save the tax and maximise the take -home payment. Please would users suggest how to achieve it. my chartered accountant is cheap but somewhat useless.
    I would like to included items such as :
    car
    home
    electrical fixtures and services installation
    laptop and printer
    diesel/ fuel

    please suggest
    thanks.
    I would (seriously) suggest above anything else find a new chartered accountant.
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  7. #7

    Dirty kapitalist spekulant

    DiscoStu has more data than eek

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    Just put anything you like through, as long as you've got receipts it'll be fine
    ǝןqqıʍ

  8. #8

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    SlipTheJab is NOT a disguised employee


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    Also make any relatives/friends/strangers/lovers directors of your Ltd if they don't work. You can then use their tax allowance to take all that lurvley loot out tax free, give them 2% for their trouble, it's a win win situation

  9. #9

    More fingers than teeth

    OwlHoot - scorchio!

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    Quote Originally Posted by VectraMan View Post

    How about:
    holidays
    clothes
    food
    school fees
    TV
    entertainment
    beer
    gifts
    All very sound suggestions - Keep those ideas coming ..

    How about lottery tickets?
    Work in the public sector? Read the IR35 FAQ here

  10. #10

    Contractor Among Contractors

    chopper is NOT a disguised employee


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    Quote Originally Posted by abc111 View Post
    hi
    i am a limited company and trying to find out ways to save the tax and maximise the take -home payment. Please would users suggest how to achieve it. my chartered accountant is cheap but somewhat useless.
    I would like to included items such as :
    car
    home
    electrical fixtures and services installation
    laptop and printer
    diesel/ fuel

    please suggest
    thanks.
    Generally speaking, if your company pays for things which are not wholly and exclusively for the business of that company, you will be taxed on the benefit-in-kind - so full whack tax and Class 1A NICs. Can be inefficient.

    Company cars are *usually* less efficient than just paying for them yourself, as the BIK tax will be high. You can get 45p/mile tax free if using your own car. Unless you do millions of miles, or something. If your company pays for private fuel, HMRC will come and bugger you silly, and you'll pay more tax on the Car Fuel BIK.

    If the laptop/printer are genuinely for business, then you can put it through.

    You can have £4/week tax free for using your home as an office. Electrical fixtures and services - not a chance. Or rather, two chances - fat and slim.

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