Ring Fenced Profits

[AtW]

I doubt many people on CUK have to worry about them!

Quiet. What CUK people are worried about is the kind of victories the French people have achieved

[thunderlizard]

It's an oil & gas thing isn't it?

Ring-fenced profits are profits derived from oil or gas production in the UK or on the UKCS, and there's a special corporation tax regime applied to them. There's a little bit about it in this week's Spectator magazine, by an amazing coincidence.

I doubt many people on CUK have to worry about them!

[Bumfluff]

Ask Cap'n Jack about "Ring Fencing" - sounds like some sort of gay practice.

Involving the placing of a fence post up the a**

[sasguru]

Take it easy on me guys because this is my first post.

Could someone please help me with giving me and explanation as to the phrase 'Ring Fenced Profits' means, I am referring to corporation tax.

Cheers in advance

Ask Cap'n Jack about "Ring Fencing" - sounds like some sort of gay practice.

[Bumfluff]

Take it easy on me guys because this is my first post.

Could someone please help me with giving me and explanation as to the phrase 'Ring Fenced Profits' means, I am referring to corporation tax.

Cheers in advance

I think the ring fence part refers to making sure you have enough £ in the ltd account to pay the ct on the profit.

So for example you have £100k profit after VAT, expenses and running costs. You then need to pay corp tax on the £100k so 20% of £100k is £20k ct to pay, its this £20k I assume you need to ring fence the remaining £80k can be taken out of profit, which you then use to pay for MP 2nd homes

[rougebot]

Take it easy on me guys because this is my first post.

Could someone please help me with giving me and explanation as to the phrase 'Ring Fenced Profits' means, I am referring to corporation tax.

Cheers in advance