Tax responsibilities for software consultancy with only two owners / employees

haelyan

Myself and a friend are thinking of setting up a software consultancy firm to make things easier for a foreign company which is looking to hire us.

The idea is that the company would pay the company we set up - and we take our salaries from monthly payments from them.

What tax would us / our company be liable for?

If the companies expenses are our salary - then the company would being making 0 profit so we wouldn't have to pay for corporation tax?

As directors / employees of the company - what taxes are we liable for?

Furthermore - as we selling a service to a company (based in the USA), we would have to charge 23% VAT on the service we are offering them. Can we claim this VAT back (To reduce the cost to the client)?

exaisle

The best advice you'll get is to go and see an accountant.

relax carry on

Please go to an accountant.