Registering a company for your website

[Slade]

Hi everyone, I was just wondering whether any of you register a company for your website, i.e; if you are making an income does that income get taxed as a personal income or a business income?

If you do register your website as a company can you use tax deductions at all?

[NeilD]

There are lots of benefits in registering a company such as being able to seperate out the business from your personal dealings as well as limiting your liability. There can also be benefits of keeping a business as a sole trader or potentially a partnership. Once you register as a company you can only offset company tax deductions agains company income.

If your online business has got to the stage where it is generating a reasonable amount of money you should probably talk to an accountant or lawyer to get advice on what the best structure would be for you.