How to Extract Profits from a Business
10 October 2018
Find out more about the tax implications of extracting profits from your business.
Read our Extracting Profits Guide for the common ways in which you can extract profits from your own company.
If you are a Sole Trader or in a Partnership, it makes no difference to your Tax bill whether the business profits are held within the business or extracted for your personal use. However, in a Limited Company, the total tax paid by the company and its shareholders depends on how profits are extracted and the amounts withdrawn.
It is important to take advice on this to ensure you are doing so in a tax-efficient way and are aware of your tax compliance obligations.