Is LTD company in UK good for affiliates?

[Triple7]

*taking into account double-taxation treaties between the countries.

So, you cannot pay tax twice.. Only in the UK. The only obligation in my country would be reporting to the Tax Office, but not paying tax. Provided that you are not employed there, only act as director and shareholder with a director's salary.

In most countries they will charge you and then it's up to you do deal with Malta and their tax threaties.

Gambling, a Maltese ltd, etc. You're 3-0 behind at the tax office.

[Sherlock]

You are actually 4-0 or bigger blowout, if you are going to show them the cards. Report in each country's tax office counts as one extra goal. Per year. Until you die. Even if you move out. So think twice before you are going to replicate the model that big corps did 20 years ago and that the tax offices have a shot at exactly right now.

[FreeSpins]

It's good to know all this stuff.. Better safe than sorry.

[RacingJim]

As Sherlock has said then, I guess it just depends how the Slovakian authorities are with this. Still the bit about wanting to pay only 5% tax on a UK company is laughable.

[pinkytoe]

There are a couple of factors here, some are being mixed. They are interrelated.

1) Corporation tax. This is effected by where the company is resident. If you open a Malta company it needs to be centrally run and controlled in Malta. There are likely a number of anti avoidance provisions to this such as substance, location of shareholders clients, assets etc.. (speak to a local or international tax advisor.)

2) Personal tax. This is effected by where you are resident. If you are still resident in Slovakia, then you pay income tax there. This doesn't change if you hide behind structures.

Tax advice is so specific to a person and their circumstances. Although a ball ache. I would happily fork out up to 10k for substantial advice. It can be a fraction of what it will save you in the long run.

[Tonny]

The UK's LTD is a good option for British residents. There is some room to lower the Personal/Corporate Tax, but you can find a good tax advisor there. As for local authorities, no issues, provided that your company follow some obligatory deadlines.

[FSB]

Gambling Affiliate Marketing is legal in the UK. So, they will be very happy to see new taxpayer there. The only issue is high taxes...

[vd752]

Gambling Affiliate Marketing is legal in the UK. So, they will be very happy to see new taxpayer there. The only issue is high taxes...

main issue is banking, not sure if a non resident UK ltd is even taxable. But some EU e-money institutions can accept a UK ltd, at least temporary Next issue will be personal taxes which you need to declare somehow if you want to use your money

If you open a Malta company it needs to be centrally run and controlled in Malta.

google CFC rules, usually a local director is enough for Malta, the problem always is the home country of UBO rules.

Thanks for all comments. I see that Malta is the best option in EU. But, still, the question: Can we legally set up LTD company there (core activity: affiliate marketing for gambling industry) and run our busniess remotly (eg. from Slovakia) without any issues? I'm also asking about banks there since we heard that some banks make problem when they see gambling-related transactions. How does it look from the legal point of view? It is safe?

not a problem to open a company for affiliate marketing for gambling industry (Malta/UK licences of course ), but banking is a big problem, BOV for example requires that an entity must at least have a substance in Malta such as an office with employees, trading activity or local two directors. So you may end with an Baltic e-money institution as a temporal banking solution. PM me if you know any "good" bank that accepts a Maltese entity Costs of company (annual fees/director/accounting/audits/bureaucracy) - min 5k /year - and up to 10k. To be safe you can think to apply for non dom Maltese residence and don't spend more than 6 months in any other country. Then you will pay 35% for what you spend in Malta and 5% for the rest.

But there are many things to consider - your country of residence tax rules, CFC rules, AEOI, EU registers of beneficial owners etc, personal tax. Why not to open a local company in Slovakia for affiliate marketing? I know people who do that from there.

[FreeSpins]

OK I see...

Btw, I have one more bothering question ... When I decide to set up the LTD company in (Malta or UK), how to present my gaming sites/portals on which I earn commission from casino partners.

1. Can I keep it as it is under private name (no changes in ICANN, no entries in company books)...?
2. Should I just change the ICANN values from private to the LTD details (no entries in company books)?
3. Or move the sites to company as a contribution from the shareholder in return for shares (changes in ICANN and entries in company books)? If so, is there any specifi form of valuation?
4. Any other options? How you guys deal with it?

Note, the domain is currently registsred under a natural person (private), but it will be the main source of income...

[vd752]

make a brand new company site (in case you need it)?

[FreeSpins]

make a brand new company site (in case you need it)?

It's not about company site, it's about website with affiliate links, reviews, etc. In my opinion, the site should be taken into company books as a contribution from the shareholder to legally prove my source of income. In case of any tax audit I can show that the site belongs to the company. Second thing, gaming portal in acc books let me generate some tax-deductible costs related to the site, eg. hosting, ssl, domain renewal, paid plugins, reviews, etc.

main issue is banking, not sure if a non resident UK ltd is even taxable. But some EU e-money institutions can accept a UK ltd, at least temporary Next issue will be personal taxes which you need to declare somehow if you want to use your money

There is no legal requirement to open and operate a business bank account for a limited company. However, you will find it very difficult to trade and manage your business successfully without one. A separate account will allow you to effectively record and trace all business income and expenditure. The solution is some kind of pseudo bank eg. TransferWise that support LTD bizz in the UK.

[gamblingvista]

There is no legal requirement to open and operate a business bank account for a limited company. However, you will find it very difficult to trade and manage your business successfully without one. A separate account will allow you to effectively record and trace all business income and expenditure. The solution is some kind of pseudo bank eg. TransferWise that support LTD bizz in the UK.

What is your experience with TransferWise business account to receive affiliate earnings?

because in their "Acceptable Use policy " it states they don't allow
" Gambling.
Lotteries.
Fantasy sports with cash prizes.
Games of chance with cash prizes.
Sales of in-game currencies by unauthorised vendors.
Any type of gambling payments or businesses related to Turkey, United States, or Canada.
Any other type of businesses related to gambling, up to TransferWise’s own discretion "

[WagerX]

.........Even in Malta it was very difficult and many ltd's could just open at Satabank. ......

Satabank froze funds. Are they still in operation now? I thought they were shut down.

[COPCapo]

Satabank froze funds. Are they still in operation now? I thought they were shut down.

shut down a long time ago at least 2 years now ? we just received our funds maybe 3 months ago

[newcustomeroffer]

Bouncing this older thread as there was an announcement yesterday that impacts the answer to this.

A proposed 1.25% Health & Social Care tax will be applied to National Insurance contributions in the UK, but also to the Dividend Tax rate that many Ltd Company directors choose to pay themselves with. In short, the basic Dividend Tax rate is increasing from 7.5% to 8.75% from April 2022, and that 1.25% is also being applied to higher rate levels too.

[zalozite]

Is this mean, if EU citizen open a UK Ltd., need to pay 19 % corporate tax and 8,75% dividents? Is that all, or in his country again personal tax, or not necessary?

As I see, there is one benefits, if you live in other country, open company in UK, you no need to pay for health, pension and etc. This is a big value like money in many countries. Only pay taxes in UK and accountant, maybe 50-100 per month, thats it, is Im right?

Do you know, that in some EU countries, no matter what you earn( earn 100 for example, but must pay 120 only for this national insurance,pensions, finds bla,bla,bla), then taxes and then accountant. So, UK seems a good option and no taxes are not high. This19% is not high, I think, but you are legit.

[gm2891]

In your case you can even get away from paying tax in the UK, because your home is outside the UK. See these articles for more info and try to figure out what works best for you. But i think to be legit, as you say, you'll still need to pay tax on foreign income in the EU country you currently live in.

Working out if you need to pay

- Whether you need to pay depends on if you’re classed as ‘resident’ in the UK for tax.
- If you’re not UK resident, you will not have to pay UK tax on your foreign income.
- If you’re UK resident, you’ll normally pay tax on your foreign income. But you may not have to if your permanent home (‘domicile’) is abroad.


UK residence and tax

- Your UK residence status affects whether you need to pay tax in the UK on your foreign income.
- Non-residents only pay tax on their UK income - they do not pay UK tax on their foreign income.
- Residents normally pay UK tax on all their income, whether it’s from the UK or abroad. But there are special rules for UK residents whose permanent home (‘domicile’) is abroad.