Have Tax Questions? Ask a Tax Expert for Answers ASAP
Hello, I am Keith, one of the experts on Just Answer, and happy to help you with your question.
Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question.
There is no requirement for an UK private company to have any shareholders or directors who are British Citizens nor need they reside in the UK. The company itself, however, must have an UK Registered Office and many agencies offer this facility. A LLP is similar, being a limited liability partnership under the Limited Liability Partnerships Act, 2000 as opposed to the Companies Acts.
I need a little more data regarding company cars and the query regarding 'laudry' eludes me.
Right, so you know about private use of a company car. If the company uses your own car on company business you are entitled to reimbursement at 45p per mile for the first 10000 miles and 25p per mile thereafter. This rough and ready twist of the spoon to stop the treacle running off so to speak is designed top cover both capital and running costs of the vehicle. If there is no private use there is no reason why you should not merely buy the car and run it off the company.
Here is the Gov UK web site advice on subsistence:
'Travel and overnight expenses
If you have to travel for your work you may be able to claim tax relief on the cost or money you’ve spent on food or overnight expenses, called ‘subsistence’.
You can’t claim for travelling to where you work, unless it’s a temporary place of work.
Expenses you can claim tax relief on from your business journey include:
Regarding running a partnership from abroad I am of the opinion that you would have to run such a scheme within the legal framework of the country where those persons are located.
What are laudry costs? If you mean laundry then the flat rate annual reduction is GBP 60.
I would suggest that the private usage proportion of the vehicle costs be declared on the P11D.
To calculate the amount to be declared on the P11d you use the following form:
I have quoted the annual Gov UK flat rate reduction for laundry. Your claim of GBP 60 is quite in order.
I would suggest the car benefit charge be the the private mileage proportion of the total mileage run.
Corporation tax at 20% on any profit made. The company would only need to register for VAT if the aggregated turnover of standard, reduced or zero rated supplies made exceed 83K in any one year. Dividends distributed are tax free up to 5K pa. NI deductions are only appropriate to emoluments paid from the company under PAYE arrangements.
The employer has no alternative if paying through RTI which they must without an HMRC direction to the contrary.
Maybe so, but as they, as directors, have to be paid through PAYE under RTI as directors there is a point which appears to have escaped HMRC's attention.
Directors are employees per se and must be paid through PAYE.
Thank you for your support.