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Limited Co vs Sole Trader

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA TX-UK Exams › Limited Co vs Sole Trader

  • This topic has 1 reply, 2 voices, and was last updated 10 years ago by AvatarTax Tutor.
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  • April 12, 2016 at 9:07 pm #309932
    Avatarsend2archan
    Member
    • Topics: 1
    • Replies: 0
    • ☆

    Lets consider a situation.

    Mr A has a full time job working as an IT Engineer earning a salary from employment of £70000. He wishes to pursue a side business and wants to provide IT consultancy/support to few of his clients. He forecasts to earn an additional £20000 annually from his consultancy work. Is he better off operating as a sole trader or as a Limited Co taking into account that Mr A is a high rate tax payer?

    April 16, 2016 at 11:10 am #310347
    AvatarTax Tutor
    Member
    • Topics: 2
    • Replies: 3960
    • ☆☆☆☆☆

    Lets see your consideration of the situation! If you do not have an answer then you should only be attempting exercises within relevant F6 study material where the answers are provided.

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