Offshore tax haven - good idea?

Rolo_Tomasi

You are forgetting to add in NIC which is not paid by companies or on dividends but which is charged on sole trader profits. Also the tax rate on dividends is only 25% of the amount taken and there is no personal tax due unless your income takes you into higher rate.

You need to be able to trust that your accountant is working for you and if this trust has broken down then you are right to look elsewhere. However don't expect to find a magic solution which will suddenly reduce your tax liabilities. There are some schemes available but the charges are in the tens of thousands of pounds and even then they carry no guarantees of being successful.

Your accountant needs to understand your business to ensure that all allowable expenses are claimed for, ensure that all deadlines are met so there are no interest or penalties and to keep you informed of any charges that could effect you or your business.

If operating as a Ltd Co is right for you, you need to ask how this transfer will be carried out as there can be a capital gains charge if not done correctly.