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Does a new company have to register for PAYE??

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    Does a new company have to register for PAYE??

    Is there any legal requirement for a Limited Company (selling software not contracting) to operate PAYE or even to register for it??? Income is likely to be modest so would prefer to avoid hassle and just pay divis rather than salary.

    Any thoughts appreciated.

    #2
    When you set up a new limited company, the IR send out to the registered office a form CT41G, which basically asks for the details of all directors and if PAYE is already being operated. If you tick no to this box then a PAYE scheme will not be set up until requested.

    There is no requirement to set up a PAYE scheme until you start paying salaries, etc.

    Comment


      #3
      xog, are you now selling your software rather than contracting? care to share a few words on how its going?

      I am particularly interested in diff in running company, ie, say initially you probably did not sell any of software and probably not drawing any salary - was it still necessary to pay monthly accounting fees?

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        #4
        www.1st etc. Many thanks for info. I have already ticked no on that box. Please be assured that all the nasty comments I make about accountants are really directed at Rodger 'cos of all the nasty comments he makes about us contractors.

        Atw. Currently trying to sell software and develop another product, do a 45 hour contract in week and 3-4 hours tutoring in VB on Saturdays and totally knackered.

        Have set up new limited company. Currently in process of getting BECTA approval for Animals UK (schools have a government fund specifically for IT, but this can only be spent on approved products). We sent program off a few weeks ago, presume is ok as we are now in stage 2, having to supply a load of financial information.

        Found this week that one of the best distributors charge 45% of the sales rather than just the ad costs as we were expecting, so selling looks like more of a slog than writing the damn thing. Glad to trade any sales tips with you.

        Nobody has to pay accounting fees, you can do it yourself. Stuff on my other website as per my CUK link or drop me an email for an update or any queries. I know you are a bit wierd about not revealing your identity but I don't stalk blokes with moustaches. Except on Thursdays of course.

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          #5
          i see about sales - when I worked for IT retailer margins for software were high (apart from MSFT who squeeze everyone). I am planning to distribute software direct from site, with possible listing on some shareware sites, but I am attacking marketplace where software is sold to businesses for £10-20k (I do not plan to charge near that much).

          I plan to advertise on Google using AdWords - but I will make sure I get positive ROI on those - it can cost a bunch.

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            #6
            P.a.y.e

            Have You Got Any Contact Numbers To Register A L.t.d. Company For Paye

            Regards
            Paul

            Comment


              #7
              Do it online at

              http://www.hmrc.gov.uk/paye/intro-register.htm

              HTH

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