how much Corperation tax do you pay

[smalldog]

hahaha...did the calcs for a Lambo gallardo spyder and F430:

Tax Liability indicator: 20% 40%

Company Car Tax (2009/2010) £5,477.20 £10,954.40

boys thats a lot of tax!!!!

[smalldog]

its all about the emissions.....the BIK is over £4k, but the actual tax is circa £800 per year...I am of course paying the monthly lease repayments which are £400 per month...

just used the HMRC calculator for your car....Wow no wonder u are paying so much, lose the 4X4 diesel wagon!! unless ur a farmer!

from HMRC website:

Car benefit charge (2009/2010) £9,294.00 jeep cherokee

Tax Liability indicator: 20% 40%

Company Car Tax (2009/2010) £1,858.80 £3,717.60

that car is in the top tier for emissions...

and here's mine, BMW 320i petrol:

Car benefit charge (2009/2010) £4,514.00

Tax Liability indicator: 20% 40%

Company Car Tax (2009/2010) £902.80 £1,805.60

and yes I am staying in the 20% bracket....I actually price the 320 the same as your cherokee, list £27k, but its actually £24k hence it being £900 instead of the £800 I quoted....just for comparison

heres the link for anyone interested:

http://cccfcalculator.hmrc.gov.uk/CCF0.aspx

might just look at a F430 or Gallardo for a laugh!

[Archangel]

I'd suggest you buy yourself a whole lot more gadgets!!!!

fair doesnt come into it....If you want to minimise your CT then you should be looking at ways to utilise what would be profit for another purpose....for instance I have just bought a company car, there will be plenty of people who will say "noooo claim mileage", thats all well and good if you do any miles to speak of but I dont, I commute by train and use the car to shuttle around at the weekends running my property business...

Few reasons for putting it thru the company, first I can claim back 50% of the VAT, 100% if purely business miles but wont be so Im being upfront. Secondly if I were to pay the repayments personally then I would need to increase my PAYE and therefore personal tax would go up. Thirdly I can offset the costs of the car (servicing, monthly lease repayment) and depreciation against CT..

So thats an example of a way in which you can effectively reduce your CT burden. That little lot will be about £5k per year of costs that will reduce my operating profit by £5k therefore reducing my CT by £1k...my benefit in kind is £800 a year on the car so Im quids in....and that doesnt include the fact Im not paying the insurance, my company is...

Do some research and look into expenses that can offset CT, its not difficult! Make sure you are expensing correctly and claiming what you should be....

My car (Jeep grand Cherokee Diesel) works out at £4,480 a year (without any private fuel), wtf can you drive for £800 a year?

[smalldog]

I'd suggest you buy yourself a whole lot more gadgets!!!!

fair doesnt come into it....If you want to minimise your CT then you should be looking at ways to utilise what would be profit for another purpose....for instance I have just bought a company car, there will be plenty of people who will say "noooo claim mileage", thats all well and good if you do any miles to speak of but I dont, I commute by train and use the car to shuttle around at the weekends running my property business...

Few reasons for putting it thru the company, first I can claim back 50% of the VAT, 100% if purely business miles but wont be so Im being upfront. Secondly if I were to pay the repayments personally then I would need to increase my PAYE and therefore personal tax would go up. Thirdly I can offset the costs of the car (servicing, monthly lease repayment) and depreciation against CT..

So thats an example of a way in which you can effectively reduce your CT burden. That little lot will be about £5k per year of costs that will reduce my operating profit by £5k therefore reducing my CT by £1k...my benefit in kind is £800 a year on the car so Im quids in....and that doesnt include the fact Im not paying the insurance, my company is...

Do some research and look into expenses that can offset CT, its not difficult! Make sure you are expensing correctly and claiming what you should be....

[JonSmile]

assuming the 49k is gross and you are on FRS
then (ish)
49000
less VAT 5880 (12%??)
less sal 7200 (say 600 mth)
less exps 2400

would give 7100 to pay

but if not linked to VAT (49k turnover suggests not)
then you save the 5880 and pay
£8200 as CT

All finger in air calcs

[d000hg]

Is that £49k net or gross? How did you split your income between salary and dividends?

[Alan @ BroomeAffinity]

Seems about right. Fair? Well thats another question..

[VectraMan]

The bill I have to pay soon for 08/09 is about half I paid for 07/08. I don't think that's fair at all.

[TykeMerc]

I made around 49k last tax year and have to pay just over 7100k is that a fair amount?
exepsnes were around 2400

Since 7100k is about 149 times your 49k take I'd probably say no not really fair.

[zcapr17]

http://www.hmrc.gov.uk/rates/corp.htm

[fckvwls]

is that a fair amount?

[HairyArsedBloke]

I made around 49k last tax year and have to pay just over 7100k is that a fair amount?
exepsnes were around 2400

HAB Inc 0

[trsisko]

I made around 49k last tax year and have to pay just over 7100k is that a fair amount?
exepsnes were around 2400