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Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question.
If you buy through a UK company the income will be subject to Corporation Tax (CT) at 20%. If you use an IOM Company the rate of corporate taxation will be 0%, but you will, of course, have management expenses and the IOM being a tax haven and it big business there, these will not come cheap.
UK tax would be of the order of 10K and quite frankly using an IOM base might cost almost as much as that. As you are not one of the big boys like Amazon or Starbucks the IOM game may simply not be worth the candle. There has been much adverse comment in the media regarding the use of tax havens and in the long term legislation may move against that procedure.
There is a further danger that for an UK company HMRC may say that ir35 applies and the income is really yours, not the company's and you be assessed accordingly. It all depends upon where the 500K from investment is coming. If it is from your personal funds that HMRC will almost certainly try to apply ir35.
I am so sorry to have to rain on your parade.
To avoid ir35 Niel the IOM route might be safer. At present if you die then any assets over 325K will be taxed at 40% unless you can show you are domiciled elsewhere. South Africa seems a possibility here. Under UK Inheritance Tax (IHT) rules children will, by 2020, be able to inherit a family home up to 1 million in value, but, of course, if you are domiciled elsewhere UK IHT will not apply to you.
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