Limited company. In a limited company, the liability of members or subscribers of the company is limited to what they have invested or guaranteed to the company. Limited companies may be limited by shares or by guarantee.
A limited company is a type of business structure that has been incorporated at Companies House as a legal ‘person’. It is separate from its owners, it can enter into contracts in its own name and is responsible for its own actions, finances and liabilities. The owners of a company are protected by ‘limited liability’, which means they are only responsible for business debts up to the value of their investments or what they guarantee to the company.
A limited company must be registered at Companies House (UK registrar of companies) as ‘limited by shares’ or ‘limited by guarantee’. Limited by shares companies are owned by one or more shareholders and managed by one or more directors. Limited by guarantee companies are owned by one or more guarantors and managed by one or more directors. The same person can be the owner and director.
If you have any Employees, you have to register with HM Revenue & Customs and open a Paye as You Earn (PAYE) Scheme. If you are a Director of your own Limited Company, you are classified as an Employee of the Company. Therefore, even if you are the only employee, you need a PAYE scheme in order to deal with your own remuneration.
As an Employer, you also have to deal with company car tax benefit rules, sick pay, maternity pay etc.
Under Real Time Information (RTI) , you have to make an electronic submission of pay and deduction details before making any payment to an employee.
If you are in the building trade and use Subcontractors, you must open a Construction Industry Scheme (CIS). You need to make electronic submission of monthly CIS returns, even where in a particular month, no payments are made to any subcontractor.
There are a multitude of rules applying to PAYE, RTI and CIS as well as strict time limits for submission of both the information and the payments due to the Revenue. Severe penalties and interest are chargeable should there be any breaches of either the rules or the time limits.
The Revenue will collect any under–deductions from the Employer, not from the Employee. Therefore, it is vital Payroll Taxes are operated correctly.
We provide a full service from Registering the company with the Companies House (UK registrar of companies) and dealing with the initial paperwork to a complete secretarial service.
-preparing the required minutes,
-maintaining the statutory books,
We also offer full Payroll Service covering PAYE, CIS and RTI, providing the necessary calculations of your payroll along with the maintenance of your PAYE/RTI and CIS records as well as dealing with the HM Revenue and Custom filing requirements
-register office address.
If you would like to receive more information, please call one of our accountant.