Contractors and consultants setting up a limited company can benefit from a number of tax-efficient perks. One of these is the ability to pay a combination of salary and dividends – reducing the amount of Income Tax and National Insurance charged. Employees of a limited company can also register for the flat rate VAT scheme, which allows them to lawfully retain some of the tax charged to clients – instead of sending it all to HMRC.
Thebes Management Accountants provides specialist accounting support to contractors working through limited companies to help them realise the following benefits:
- Payments of a combination of salary and dividends
- Tax efficiencies
- Increase earnings by up to 18% compared to using an umbrella company