Hi, If you already have a company and want to start another company for the purpose of a joint venture, what are the tax implications? I've been told that this second company would be classed as a second income and therefore be taxed at 40% due to this reason alone. Is this true? If you have any suggestions to a solution or better arrangements that would avoid this please share as it would be very much appreciated.
Your personal tax liability is calculated on your own income, not the business income. You should only pay 40% income tax once your personal income hits that threshold.
Apparently as it's classed as a "second job" they would instantly have to pay 40% on any income they receive from this second company..........
You can be a director of a company without drawing a salary ? Do you really need to open two companies for this, are they completely unrelated ?
The other individual had his own company already and obviously doesn't want me to be part of his previous ventures. We want to start a new company for a new venture.....
