WHAT ARE INCORPORATED BUSINESSES?
Incorporated
businesses
are set up with Companies House and are governed by the Companies Act; and
these require more stringent rules to be complied with along with the tax rules
to comply with. The incorporation process establishes a company which becomes a
separate legal entity from its owners.
They
are required to file annual returns and annual company accounts with Companies
House and also file annual tax returns with HMRC. These will include the
different types of companies.
·
Private limited companies (LTD)
·
Public limited companies (PLC)
·
Limited liability partnerships (LLP)
Your task:
Identify 3 features of an incorporated business
Hints:
·
Limited liability
status and what this means
·
Type of tax payments
·
Which tax returns
should be filed
·
What the owners are
called
What is the make up of their accounts and financial statements