Here is something I am wondering.
I am quite cautious about tax so I thought of an alternative to safeguard myself a bit to be on the right side of the ledger.
Say I earn 1000 pounds per week before tax as a Ltd company.
If I am happy with the PAYE equivalent income of 697 per week then I could just pay myself this as a Ltd company and put the rest away in the company account.
Come end of tax year and filing returns I could then see how HMRC views my return and effectively I should have all the money I need to cover any excess tax as surely you would not pay more tax than at PAYE level.
Then if all is good I have a little nest egg.
What do you all think?
I am quite cautious about tax so I thought of an alternative to safeguard myself a bit to be on the right side of the ledger.
Say I earn 1000 pounds per week before tax as a Ltd company.
If I am happy with the PAYE equivalent income of 697 per week then I could just pay myself this as a Ltd company and put the rest away in the company account.
Come end of tax year and filing returns I could then see how HMRC views my return and effectively I should have all the money I need to cover any excess tax as surely you would not pay more tax than at PAYE level.
Then if all is good I have a little nest egg.
What do you all think?
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