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by bflesch 3695 days ago
I strongly advise you against forming a limited in the UK. The setup cost might be low but if something unusual happens the fees for expert advice will eat you alive. Furthermore UK Ltd has a very bad reputation in mainland EU because they are used by many people who aren't allowed to form companies in they home countries (e.g. Germany) any more due to previous bancruptcies.

If you do it out of tax reasons and you are willing to take the risk of not being able to do any administrative "things" by going to a local government agency in the town where you live, then form an entity outside of EU for example in singapore.

Again, I'd suggest you start your first steps in business locally where you can talk to actual people. There are a lot of services available that can help you out in person.

2 comments

Also, the German tax office will look at your UK registered company and your dividend payments and artificially lowered salary, and your German tax domicile, then tax you after the fact directly as if no company existed. Single ownership UK Ltd companies are a black flag to the Finanzamt.

My best advice is to walk into the local Finanzamt and speak to someone. I've always found them to be knowledgeable, courteous and genuinely interested in helping. Explain to them your goals (minimising tax liability / indemnity / etc) and they will advise you where they can (for free).

Okay. I'll try to get local help. I already got told that France has a system for that I could use, I'll follow up on that.