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Where Taxpayers and Advisers Meet

LLP taxes and General info

Tokyorob77
Posts:1
Joined:Tue Mar 28, 2023 1:12 pm
LLP taxes and General info

Postby Tokyorob77 » Tue Mar 28, 2023 1:23 pm

Hi TW,

Hope you are all well.

I am in need of advice as I feel I may not be answering the right questions to my accountants ( or I just don't like the answers ;-)

We are a family fun business that has just moved from a Sole trader to a LLP.

Gross profit is around £180,000. Currently, I will draw a wage of £00k and my wife is just setting her wages up to be about the same. We are looking to add as much as we can into a pension to avoid going over the 40% tax bracket.

I am looking for a bit of advice on the best way forward. Happy to pay my Tax but losing things like child tax credits etc whilst paying more smarts a little.

Thanks in advance

bd6759
Posts:4239
Joined:Sat Feb 01, 2014 3:26 pm

Re: LLP taxes and General info

Postby bd6759 » Wed Mar 29, 2023 11:48 pm

You will still get taxed on the profits, not your drawings.

You need to speak with your accountant.

mitchellwilliam912
Posts:12
Joined:Thu Sep 21, 2023 1:36 pm
Contact:

Re: LLP taxes and General info

Postby mitchellwilliam912 » Wed Oct 18, 2023 3:02 pm

By reducing your taxable income, you may indeed qualify for child tax credits and other benefits. The eligibility for benefits depends on various factors, so it's essential to consult with a financial advisor or tax specialist to understand how pension contributions may impact your specific situation.


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