Buying shares

Jaco70

I’m thinking of purchasing some shares, through my limited company, in Berkshire Hathaway (class B shares), and would welcome advice on the cheapest and best way to do it?
I have some company funds invested in an index fund, through an IFA, but I’m not sure it’s great value, due to the fees etc.
One thing that concerns me is that if I buy through an online brokerage like HL or AJ Bell, how easy will it be to get hold of the info my accountant needs once a year? I can’t remember exactly what documents they ask for (CGT disposals, maybe, or something like that), which I just forward straight to my IFA at the moment.
I’m not looking for advice on whether buying shares is a good idea, just how to do it in the best way please.

Hoenir

Before trading any US shares directly you'll first need to complete a W-8BEN       

After that trading US shares is no different to those listed on the LSE. 

You can check with the platforms directly as to what costs would be involved in dealing in US shares and also US $. 

DRS1

Can a limited company open a trading account with HL or AJBell?

Bostonerimus1

Don't buy US shares...it's a real pain. If you want to avoid IFA fees simply buy UK registered funds through a UK broker or directly from someone like Vanguard or Fidelity. I'd advise you stick to index funds as they are inexpensive and usually pretty diversified.

wmb194

DRS1 said:

Can a limited company open a trading account with HL or AJBell?

Yes, AJ Bell anyway. Also Fidelity.

https://alpha.ajbell.co.uk/dealing-account/limited-company

https://www.fidelity.co.uk/forms/companies-trusts/#accordion-faeb6257

DRS1

wmb194 said:

DRS1 said:

Can a limited company open a trading account with HL or AJBell?

Yes, AJ Bell anyway. Also Fidelity.

https://alpha.ajbell.co.uk/dealing-account/limited-company

https://www.fidelity.co.uk/forms/companies-trusts/#accordion-faeb6257

Interesting.  When I looked at account opening both HL and AJBell said you need a NI number which a company wouldn't have.  I didn't see the page you linked.

Hoenir

Companies pay corporation tax on their investment income and gains not CGT. Your accountant will require sight of the contract notes detailing purchases and sales. Along with tax certificates for the income and an annual statement of tranasctions. In order to maintain proper records and declare the information correctly in your company's annual accounts and corporation tax return. . 

gatters

Out of interest, what is the advantage in buying shares through a limited company?

Gary1984

I think if you have a lot of money built up in a limited company it may be preferable to a) leaving it in cash and only earning low interest on it, or b) paying it out as a dividend and paying dividend tax. 

Jaco70

Gary1984 said:

I think if you have a lot of money built up in a limited company it may be preferable to a) leaving it in cash and only earning low interest on it, or b) paying it out as a dividend and paying dividend tax. 

I understand option b, taking it out and paying tax on it. But why do you feel cash is better than investing?

Jaco70

gatters said:

Out of interest, what is the advantage in buying shares through a limited company?

It’s probably not. It’s simply that I have other income streams (BTL profit), meaning my income is reasonably high already, and so taking it out as dividends involves paying lots of it in tax before I can invest.
If the company invests, I’m using money on which corporation tax has already been paid.
My accountant and IFA have been happy with it, up to now.
I’m not talking about huge numbers.