UK Tax/Financial Advice for online business earning higher/additional rate 18/19

Apr 7, 2019
Reaction score
United Kingdom

1. dropped out of university with a student debt of about £40,000

2. started selling Ebooks online august 2019
- Ebooks take off and sell £200,000 worth by April
- not registered as a business
- anticipating to bring out products related to Ebooks
- no current expenses (wrote the ebooks myself)
- all profits went straight into my current account

3. started and registered a business in something different purchasing £4000 worth of stock (no current profits)
- registered as a LTD company
- have a business bank account



Should they register the Ebook business as a LTD company and create a business bank account?

Would registering as a LTD company and transferring all funds to a business bank account prevent the £200,000 being taxed at 45%? and be taxed at 20% instead? Then a wage can be paid back into the current account?

Can the other business bank account be of any use?

What advice would you give?


Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question