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    (Original post by Nick_000)
    Tax dodging is your friend.

    It's ******* hard to do to be honest, government are really clued up on this one.
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    (Original post by Elipsis)
    I am in the process of starting up a business, here is just a quick summary of all the tax I will be paying:

    Import tax: 22.5%
    VAT: 17.5%
    Corporation Tax: 30-40%
    Income Tax: 20-50%
    NI: 11%

    How ridiculous is that? I am paying tax on the same product like 4-5 times... the government really screws you from every angle.
    The UK has lower tax rates than every single European country apart from Iceland, Ireland and Switzerland. Try living anywhere on hte continent and moaning
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    I'm sure my dads found a loop hole in it and is sorting it out with my nan at the moment(only child so nothing dodgey).

    I'll ask him.

    for bankruptcy there is lots of loopholes.
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    (Original post by bennh)
    The UK has lower tax rates than every single European country apart from Iceland, Ireland and Switzerland. Try living anywhere on hte continent and moaning
    Luxembourg, Monaco ?
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    Those taxes may seem alot, but with good acumen you can avoid eligibility for certain taxes and reduce the amount you have to pay.
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    (Original post by Smtn)
    Luxembourg, Monaco ?
    Luxembourg is higher, Monaco is counted as part of France for the figures I have
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    (Original post by bennh)
    Luxembourg is higher, Monaco is counted as part of France for the figures I have
    Well, not for the individual - which will be a large part of the tax this dude will have in his first few years of business
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    (Original post by Hugh-Jackman)
    What if the person that has died sold the property for peanuts to her son/daughter???
    That would be fraud; and I imagine could lead you to jail.

    There are ways to minimise IHT, but you can't just avoid it.
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    (Original post by Smtn)
    Well, not for the individual - which will be a large part of the tax this dude will have in his first few years of business
    No no, it is still higher for both corporate and personal. Anyway who cares, the point is still there from the original post =]

    It's just to make those people who don't know about it realise that we don't actually pay that much in the way of "high" taxes if you compare it.
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    are you aure the product you're selling is safe?

    selling something not for human consumption when everyone is using it to get high might not cut it.

    as someone has said you wont pay coropration tax until you become a company and make a lot of money
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    (Original post by bennh)
    No no, it is still higher for both corporate and personal. Anyway who cares, the point is still there from the original post =]

    It's just to make those people who don't know about it realise that we don't actually pay that much in the way of "high" taxes if you compare it.
    Interesting, well they are both classed as tax havens - along with Switzerland
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    (Original post by Elipsis)
    I don't think they will be willing to help me start up this business. It's basically just selling legal highs... I was under the impression corporation tax was higher than 21-28%. How do they justify taxing the businesses profits and then taxing wages? 99p in a £ must go through the treasury.
    Dont sell boring legal highs then, get a real business.
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    (Original post by Clubber Lang)
    are you aure the product you're selling is safe?

    selling something not for human consumption when everyone is using it to get high might not cut it.

    as someone has said you wont pay coropration tax until you become a company and make a lot of money
    It's safer than alcohol, I know that much. I wouldn't have a problem working in an off license or a bar, so this is fine. Anyway, it's not for eating, it's a bath salt.
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    (Original post by SacreBleu)
    Dont sell boring legal highs then, get a real business.
    I don't have the finanace available to start a 'real business'. They are not boring either.
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    (Original post by Elipsis)
    I am in the process of starting up a business, here is just a quick summary of all the tax I will be paying:

    Import tax: 22.5%
    VAT: 17.5%
    Corporation Tax: 30-40%
    Income Tax: 20-50%
    NI: 11%

    How ridiculous is that? I am paying tax on the same product like 4-5 times... the government really screws you from every angle.
    NO!!! i've just done my chartered tax advisor exams. note this well. you can RECLAIM your input VAT ie any VAT incurred on supplies you buy in for use in the business if you have a receipt showing VAT paid. plus, it is currently 15%.

    corporation tax - im assuming you won't be incorporating your business, you will be running as a sole trader, so would only be paying income tax on the profits of the business, declared on your self assessment and corp. tax will not apply. in any case, you wouldnt be running a large corporation, so if you incorporate you would only pay CT at about 20% if you earn up to £300,000 p.a. the upper rate is 28% if you earn over £1.5m. this is not you!! as for income tax, you will be taxed at 20% of your earnings up to £34800, then only the excess oevr this will be taxed at 40%.
    Dont forget that any pre-trading expenditure you incur in starting up the busienss incurred within 7 years prior to starting to trade can be deducted from your first income for tax purposes, therefore reducing your taxable income from the business so you would pay less tax.

    if you make losses in the first four years of trading as a sole trader or unincorporated business, you can offset them against your net taxable income (ie income from your trade,employment and all other sources) for the prior year and this may geenrate a tax repayment.

    any questions about tax please ask me! i just did my owner managed business specialist chartered tax exam, plus my personal tax and i work in corporate tax

    Love from TAXXXX xxxx
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    Originally Posted by Elipsis
    ...I was under the impression corporation tax was higher than 21-28%. How do they justify taxing the businesses profits and then taxing wages? 99p in a £ must go through the treasury.

    (Original post by Bagration)
    It's something like 36p in the £, which is actually a hell of a lot.
    As I said, it's 28% over £150k profit and 21% for small businesses.

    http://www.hmrc.gov.uk/ctsa/ct_rate_band.htm
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    (Original post by Elipsis)
    The money from this will be plowed into property with my friend. After about a year we will have made at least 300k between us lol.
    I think you're vastly over-estimating how much money you're going to make. You might want to get a professional to go over your figures with you.
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    Go live in Liechenstein if it's worrying you?
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    (Original post by ttx)
    I think you're vastly over-estimating how much money you're going to make. You might want to get a professional to go over your figures with you.
    Yeah I probably am, but who knows.
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    (Original post by Elipsis)
    I am in the process of starting up a business, here is just a quick summary of all the tax I will be paying:

    Import tax: 22.5%
    VAT: 17.5%
    Corporation Tax: 30-40%
    Income Tax: 20-50%
    NI: 11%

    How ridiculous is that? I am paying tax on the same product like 4-5 times... the government really screws you from every angle.
    And the more you earn, the more you get taxed. Did you know that after the end of WWII income tax on large incomes was set to 19/6 in the Pound? That means that for every £1,000 you earned, all you would get for yourself would be £25.

    Yes. Tax is a disgrace.
 
 
 
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