Brian G Lonis & Co is an accounting firm that excels in many areas. People consider us to be the best when it comes to new company formations London has to offer. We want to provide each client with a first class service, especially when they are forming a business. With our help, they can avoid lots of common issues and then look at things like accounting and plans.
You may be thinking about setting up a new company in the future. If so, something you will want to consider is whether to set up as a limited company. There are many advantages to doing this and we are going to talk about some of them here.
Taxes
To begin with, there can be tax benefits. Sole traders and partnerships may find they have to pay income tax. Companies on the other hand pay corporation tax. In truth, the latter’s rates are lower.
However, the benefit might lie with incorporation. A business is able to pay its shareholders dividends. This is in addition to salary payments to staff. Therefore, a shareholder director can opt to gain the most tax effective mix of dividends and salary.
A director can also keep their right to specific State benefits. They can do so as long as they take a minimum salary. This is without any employer or employee National Insurance Contributions being payable.
Pension possibilities
There are several options for pensions. A business could make pension contributions. This is instead of an employee director financing pensions right out of taxed income. An establishment shall frequently have the means to make a greater tax relievable pension contribution than an individual. In addition, for the company, these are normally going to be a tax deductable expense. As such, it should acquire corporation tax relief against the contribution’s value.
At Brian G Lonis & Co, we supply financial solutions that are of high value. The team can provide you with a consultation at our office or your own. We also offer ongoing services such as accounting and bookkeeping.
If you want help from the top business working in new company formations London has, contact us today. We will listen to your ideas for the business and suggest the best way to set up.