Hello,
I am an IT consultant. I am considering to invest surplus business cash on shares, property etc through my limited company. Question is whether I should pay corporation tax on the amount invested or the amount invested can be negated from profit for the year while calculating Corporation Tax.
Total Income :- 80000
Expenses :- 10000
Profit for the year :- 70000
Amount to be invested : - 20000
Should I pay corporation tax on 70000 or 50000 this year? Or can I delay corporation tax on the amount 20000 till the Tax year when I receive the investment amount back with profit or loss and declare dividend.
Regards
I am an IT consultant. I am considering to invest surplus business cash on shares, property etc through my limited company. Question is whether I should pay corporation tax on the amount invested or the amount invested can be negated from profit for the year while calculating Corporation Tax.
Total Income :- 80000
Expenses :- 10000
Profit for the year :- 70000
Amount to be invested : - 20000
Should I pay corporation tax on 70000 or 50000 this year? Or can I delay corporation tax on the amount 20000 till the Tax year when I receive the investment amount back with profit or loss and declare dividend.
Regards
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