As a Salaried GP, should I be a Limited Company?
Making the right choice really matters
It is important to know which legal structure is most appropriate for your private income.
There are four structures to choose from:
- Sole trader.
- Limited liability partnership, and
- Limited company.
There are potentially large tax savings
By selecting the right legal structure for your private income you could:
- Divide your income with a spouse or civil partner.
- Reduce tax rates to nil, 20% or 40% rather than 45% or 60%.
- Reduce National Insurance Contributions altogether.
- Shelter income in a limited company where corporate tax rates are currently 19%.
- Help reduce the tax charge on the growth of your NHS pension.
But, a limited company is not always the best choice for all doctors. The legal structure which is right for you depends upon your financial and personal circumstances.
How can we help?
We have considerable expertise and experience in this area. We have advised many doctors how to substantially reduce their tax bills by choosing the right structure.