1. Corporation and income tax
You will be asked to pay corporation tax on the profits your UK business makes. You are required to calculate your own company tax liability and file an annual return of your results over the company’s accounting period. You should seek specialist advice on the best way to do this for your business.
Income tax is generally deducted from an employee’s salary on a monthly basis, through an employer-run system known as ‘Pay As You Earn’ (PAYE), and automatically paid to HM Revenue & Customs (HMRC). As an employee, you will pay between 0% and 45% tax, depending on your earnings.
You should seek professional advice for calculating income tax liabilities for foreign nationals.
Brit Services Technology
With the right advice from London & Partners, with tax incentives and low corporation tax, the UK is a very affordable place to do business.