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bigduckontax, Accountant
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Can I ask this question of a property tax accountant please?

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Can I ask this question of a property tax accountant please?
I am thinking of setting up my own property business.
Is there an income threshold at which it would be sensible to operate from within a limited company and submit company accounts annually, and do everything necessary to be compliant, rather than operate as an individual and simply submit self assessment forms to HMRC?
If so, what income would I need to earn to justify setting up a limited company?
thanks for your advice

Hello, I am one of the experts on JustAnswer and pleased to be able to help you with your question.

In a word, no, but why bother with all the palaver of running a company when any emoluments to you would have to be paid through PAYE channels.

Customer: replied 19 days ago.
Well I was told that I could pay myself via a dividend rather than PAYE and the dividend would be taxed at a lower rate than 40% which I would have to pay if I were a higher rate taxpayer - that was the reason I asked about setting up a limited company
Customer: replied 19 days ago.
I was also wondering if I could offset the interest on mortgage payments against any profit if I had a limited company? I can't do this as an individual due to section 24. All I can claim is 20 per cent
Customer: replied 19 days ago.
this might swing the argument in favour of setting up a limited company, despite the heavy cost of paying an accountant to do my company tax return and all the other requirements to be compliant - I know these are expensive too
Customer: replied 19 days ago.
This is why I was asking if there is a cut off point at which it is more sensible to start up a limited company rather than continue as an individual. Obviously the 4 existing buy to let properties I have would remain outside of any company I set up. I am sorry I am pressing the point so much but I am agonising over the best way forward, hence I signed up to justanswer and so far I am still unsure so your help is appreciated.
Customer: replied 19 days ago.
Also mortgages are far cheaper in an individual name rather than for a company so this swings the argument back in favour of keeping things simple as you originally suggested, but...

The dividend would be grossed up for tax in your tax assessment so there is no saving there.

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