I want to have a business account set up in a friends name where I pay money into the account in order to pay some bills. So the balance will always be close to zero, if not zero.
What are the tax implications if I just pay money in and then the account is close to zero?
What are the tax implications if I also pay some other revenue into the account?
Jon
tax will be due on business profits and on bank account interest, there won't be much of the latter if its a business account with near-zero balance.
if you're trying to evade tax by setting this up "in a friends name" then you're on your own mate :-)
Tax is due on business profits, what goes in and out of bank accounts is somewhat academic although it generates recorded transactions that the Revenue can get to see if they're on your case.
Phil
I'm not looking at tax fraud. All I need is another account to pay bills. Profit will be paid into my business account that the tax man will see. It will all be accounted for.
not clear why you need another account, you can have that in your own name or the business name - if you need several accounts the bank can open them. The "friends name" bit looked dodgy. The money laundering rules may give you some grief on this.
Phil
The tax implications are the same regardless of which account you choose to pay your money into.
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