|Enter the following:||2016-17|
|Projected results:||Sole Trader 2016-17||Incorporated 2016-17|
* Note: The income before tax in the incorporated column assumes the sole shareholder/director will take a minimum salary to save NIC and the rest as available dividends. The calculations of tax payable only include deductions for basic personal allowances and reliefs. If profits are retained by the incorporated business option this will increase the benefits of incorporation as profits are only taxed at 20%. Sole traders will always pay income tax at increasing rates on all their profits, even those retained in the business.
Disclaimer: every persons’ tax affairs are unique. This calculator only includes basic personal tax allowances. To consider a more comprehensive assessment of the changes to your post tax earnings, and the benefits or otherwise of incorporation, please request a call back.