Limited Company Accountancy Services

No. Our service is completely free for business owners. We earn a commission from our accountant partners, so you get expert support without any extra cost.

The main rate of corporation tax for larger limited companies increased from ~19% to 25% from April 2023. Many business owners haven’t updated their strategy accordingly — meaning they may be paying significantly more tax than necessary.

What you actually pay depends on your profit, how you extract salary vs dividends, and your company structure.

For example, for a £100k profit company the effective tax rate could now be ~42% compared to ~33% a few years ago.

You extract profits from your company through a combination of salary and dividends.

However, the tax-free dividend allowance has been reduced dramatically (from £5,000 to £500) and the dividend tax rate above that has increased.

Without a modern extraction strategy, you’ll pay more tax than your peers who optimise properly.

If your limited company’s taxable turnover (sales of goods/services subject to VAT) exceeds £90,000 within a rolling 12-month period, you must register for VAT.

Once VAT-registered you must charge the correct rate (standard 20% for most goods/services), keep records, file returns, and pay or reclaim the difference between VAT charged and VAT paid on purchases.

Do you know whether your turnover is VAT-taxable or whether your current accountant is monitoring this threshold for you?

Yes — in some cases. Even if your turnover is below the £90k threshold, you can choose to register. This can help you reclaim VAT on purchases, give you more credibility and set you up for growth. But it also means more administrative work.