Declare Tax or Setup Company?

Unreliable Witness said:

Unfortunately this doesn't work if you have links to certain countries. In the UK, you can be tax resident without spending a single night in the country, simply if you have significant links to the country. And the UK taxes worldwide income, not just income made in the UK (like some countries).

You can set up a limited company for £12 through the gov.uk website. You can set up for free if you use some incorporation agents.

However, a company still pays tax on profits, and the owner still has to pay income tax when he pays himself (although there are some thresholds under which tax isn't due). You can reduce your profits to zero, for example, by reinvesting them, but then what's the point of doing the work if the reward is 0?

There is no easy way of getting around paying taxes.

Click to expand...

Unreliable Witness said:

Unfortunately this doesn't work if you have links to certain countries. In the UK, you can be tax resident without spending a single night in the country, simply if you have significant links to the country. And the UK taxes worldwide income, not just income made in the UK (like some countries).

You can set up a limited company for £12 through the gov.uk website. You can set up for free if you use some incorporation agents.

However, a company still pays tax on profits, and the owner still has to pay income tax when he pays himself (although there are some thresholds under which tax isn't due). You can reduce your profits to zero, for example, by reinvesting them, but then what's the point of doing the work if the reward is 0?

There is no easy way of getting around paying taxes.

Click to expand...