Usually if you run your business as a company, you may save a considerable amount of tax. However, in certain circumstances this may not be the case, and a sole trade or partnership structure may be better. If your business is in Bromley, Kent and London areas we, at Adiva Accountant in Bromley, can show you the potential tax savings from trading as a company.
The decision to run your business as a company, a sole trader or partnership is an important one. Here we cover the relevant tax issues and describe the possible tax benefits from operating as a company.
The recent changes to the taxation of dividends
From April 2016, there have been significant changes to the taxation of the dividends. The dividends are now taxed at a higher rate, which has reduced the tax savings compare to prior years. Our calculations show that incorporation in 2016/17 and beyond should still result in lower tax bills than remaining unincorporated. If your business is in Bromley, Kent and London areas, please contact us at Adiva Accountant in Bromley about the possible tax savings from operating as a company.