Tax implications on Secretary

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swebb replied

1 May 2007, 12:02
Originally posted by rootsnall

Yes, I made him a director also to pay him some divis, saved a bit of tax but wasn't worth the aggro. It was the director bit that caused the self assesment. I'm just pointing out that involving oldies in things that require them to sign things can make them worry. I've now got a wife to sign things she doesn't understand so it's not a problem anymore.

Ah ok catch your drift thanks for that. My mother will just be signing for the opening of the bank account and the year end accounts. So like other have said should not be caught up in anything tax based that the IR would be interested in.
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rootsnall replied

1 May 2007, 10:37
Originally posted by swebb

Self assesment ! Why were you paying him or have I missed something. I thought if you weren't paying for the role it was basically just a signatory role and the tax man didn't need to get involved at all as far as they were concerned

Yes, I made him a director also to pay him some divis, saved a bit of tax but wasn't worth the aggro. It was the director bit that caused the self assesment. I'm just pointing out that involving oldies in things that require them to sign things can make them worry. I've now got a wife to sign things she doesn't understand so it's not a problem anymore.
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swebb replied

1 May 2007, 10:00
Originally posted by rootsnall

Your accountant may act as secretary ( for a fee ! ), it means a lot of the paperwork will also go direct to them. I would keep the oldies out of it, my Dad still has a go each year as he has to fill in a self assesment after I got him involved in an earlier Ltd I had.

Self assesment ! Why were you paying him or have I missed something. I thought if you weren't paying for the role it was basically just a signatory role and the tax man didn't need to get involved at all as far as they were concerned
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rootsnall replied

1 May 2007, 09:19
Your accountant may act as secretary ( for a fee ! ), it means a lot of the paperwork will also go direct to them. I would keep the oldies out of it, my Dad still has a go each year as he has to fill in a self assesment after I got him involved in an earlier Ltd I had.
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swebb replied

1 May 2007, 09:10
I think I read the rule was in place but didn't come into effect until next year !
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Vito replied

1 May 2007, 07:10
Originally posted by Captain Dispensable

When does the rule about company secretaries change so that companies with only one director don't need a secretary anymore? I'm sure I didn't dream that one.

Pretty sure its already in place...
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Captain Dispensable replied

1 May 2007, 07:03
When does the rule about company secretaries change so that companies with only one director don't need a secretary anymore? I'm sure I didn't dream that one.
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swebb replied

30 April 2007, 23:11
Cheers for the information guys sounds like it won't be a problem then
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Kyajae replied

30 April 2007, 20:06
Originally posted by xoggoth

Only if you pay them I think. Don't believe the secretary has any financial liabilities for tax or other debts but in theory may have legal liabilities:-

http://www.companieshouse.gov.uk/abo...a1.shtml#three

Spot on.
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xoggoth replied

30 April 2007, 19:49
Only if you pay them I think. Don't believe the secretary has any financial liabilities for tax or other debts but in theory may have legal liabilities:-

http://www.companieshouse.gov.uk/abo...a1.shtml#three
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Kyajae replied

30 April 2007, 19:48
Originally posted by swebb

Hi,

Just about to start a new Ltd company and need a secretary, being single I was going to ask my mother or father. They are coming up to retirement, infact my farther already is so I wanted to check if there was any possible tax hits on them and also make sure there would be no consequences for either of their pension payments. I will also check this with the accountant but thought the more advice the better.

Any advice would be appreciated .

Thanks

Steve

The only implication for a Company Secretary is if you pay him/her a salary for being in that role. If you do, it has to be delcared.

If your parents are retired and not using their full annual tax allowance, you could pay a salary that won't push them over into tax - remember that if this does hapen your company will have to pay Emplyers NI contributions to Gordo.
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swebb started a topic Tax implications on Secretary

30 April 2007, 19:36
Tax implications on Secretary

Hi,

Just about to start a new Ltd company and need a secretary, being single I was going to ask my mother or father. They are coming up to retirement, infact my farther already is so I wanted to check if there was any possible tax hits on them and also make sure there would be no consequences for either of their pension payments. I will also check this with the accountant but thought the more advice the better.

Any advice would be appreciated .

Thanks

Steve
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