Freelancers: Sole or Ltd?
Freelancers: Sole or Ltd?
Out of context: Reply #4
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- LukeO0
If your freelancing with other studios, and your'll be invoicing over 40k I'd say flat rate VAT registered ltd is the best way to go financially speaking.... you keep a portion of the charged VAT, and the dividend payment you pay yourself through the ltd keeps tax down... though tax laws/loopholes are changing.
DYOR very important though obvs. Speak to accountant. Good luck!
- VAT is separate and an important consideration whether sole or Ltd. But you have to be earning over 70Kish to have to register.fadein11
- But yes this is relevant to my comment below.fadein11
- Keeping a cut of VAT was too juicy to refuse. My accountant doesn't charge too much extra for this. An hour every quarter tallying invoices is worth it imo.LukeO
- yeah I only recently heard of the keep some VAT thing a while ago - will look into.fadein11