The United Kingdom of Great Britain and Northern Ireland is a Western European state with an impact on the entire world. The British legal system is based on precedent. British companies are very prestigious, and some legislative acts provide significant opportunities for entrepreneurs while starting a business.
The UK is often mistakenly referred to as an "offshore zone", but this jurisdiction is not offshore and never was. It is possible to achieve favorable tax conditions when opening a company in the UK by setting up a partnership firm. This form of company allows you to conduct business without taxes (for this you need to be a non-resident, do business and earn income outside England).
Companies in England are regulated by:
In England, there is a possibility to register a company in the following legal forms:
Taxation in England is based on territorial principle: resident companies are liable to taxation on their overall income, and non-resident companies are tax liable on their income gained in England.
Income tax - 19%. For companies with an annual profit of 50,000 GBP, corporate tax will be - 25%.
The amount of tax on dividends can be basic (7,5%), high (32,5%), and additional (38,1%).
VAT – 20% (in some cases may apply reduced rate – 5% or 0%).
Therefore, it is profitable to buy an English company in the form of LP precisely from the position that it is not taxable. The income received by an English or Welsh LP is the personal income of its partners and they are required to declare it at their place of residence. That is, if you register a company in the UK and organize the correct corporate structure, where the partners will be non-residents of the UK, LP will be exempted from having to pay taxes in Britain. Therefore, in order to save profit, it is proposed to introduce citizens of offshore tax-free zones into the structure of the enterprise.
If a business operates in the UK, in EU member states or with organizations from EU member states, VAT registration may be required. When opening a company in England, it is mandatory to obtain a VAT number if the company's annual turnover is more than £ 85,000. In other cases, it is possible to register as a VAT payer voluntarily by providing the contact details of business partners, contracts and invoices, as confirmation of intentions to achieve the required amount of annual turnover in the near future.
When opening a company in the UK and obtaining a VAT number, you must submit a report on your business every quarter. If for several reporting periods zero reports are submitted (no VAT payable, refundable, offset), the company may be excluded from the register of VAT payers and it will be necessary to register first.
England has entered into double tax avoidance agreements with more than 140 countries, including Ukraine.
If you need to register an English company in London (UK), please contact our lawyers for advice:
+38 (098) 737-88-88
We will help you with formation or registration an offshore company in England (UK) or any other jurisdiction of your choice, and help to open bank account or some accounts for you company. Business registration in the UK with the Campio group is a profitable and cost-effective solution.
The cost of registering a company in England (Great Britain) is formed for each specific specific business, check the final price of the finished company with our lawyers depending on your individual needs.