In short
A small UK Ltd pays 19% on profit up to £50,000. VAT is 20% once sales pass £90,000 in 12 months. The UK withholds nothing on dividends you take abroad.
Facts checked November 2026
United Kingdom company formation
A UK limited company or LLP with a London registered office, filed at Companies House. Directors don’t need to live in the UK.
Ltd or LLPfrom $299 one-time
- 1–3 days after ID checks
- No UK residency needed
- London office included
At a glance
- Company types
- Private limited (Ltd) from $299 · LLP from $299
- Directors
- At least one, aged 16 or over. Directors don’t have to live in the UK.
- Owners
- A Ltd has one or more shareholders. An LLP needs at least two designated members.
- Registered office
- A physical UK address, not a PO box. Ours in London is included for year one.
- Identity checks
- Since 18 November 2025, every new director and person with significant control verifies their identity with Companies House.
- Government fee
- £100 to incorporate (£156 same-day), included in every package. LLPs file by software or paper, not the online service.
- Every year
- A confirmation statement (£50), annual accounts and a Company Tax Return.
- Timeline
- 1–3 days after ID checks
Taxes, explained simply
Your company pays
-
19–25%
Corporation tax
19% on profit up to £50,000, 25% above £250,000, with marginal relief in between. Associated companies share the limits.
-
20%
VAT
Register once taxable turnover passes £90,000 in any 12 months, or earlier by choice. Reduced rates are 5% and 0%.
-
Transparent
LLP profit
An LLP pays no corporation tax. Each member is taxed on their share of profit and registers for Self Assessment.
You personally
-
0%
Tax withheld on dividends
The UK withholds nothing on dividends paid abroad. Your home country may still tax them.
-
20%
Interest and royalties paid abroad
Withheld unless a tax treaty lowers it. The rate on interest rises to 22% from 6 April 2027.
Corporation tax bands
| Taxable profit | Rate |
|---|---|
| Up to £50,000 | 19% (small profits rate) |
| £50,001 to £250,000 | 25%, reduced by marginal relief |
| Over £250,000 | 25% (main rate) |
Both limits are divided by the number of associated companies plus one, and cut for accounting periods shorter than 12 months.
A UK-incorporated company is generally UK tax resident, wherever its owners live. If you run it from another country, that country may also claim it, and the tax treaty decides. What you take out is taxed where you live.
How it works
-
Register at Companies House
Ltd or LLP. Owners verify ID with GOV.UK One Login, we file.
You get: Certificate of incorporation
-
Get a London office
Registered office and service address, so your home stays private.
You get: London address
-
Register with HMRC
Corporation Tax first, then VAT and PAYE once you need them.
You get: UTR number
-
Open a business account
We refer you to Wise, Revolut or Payoneer and prepare your file.
You get: Account-ready file
-
Stay compliant
Confirmation statement yearly, accounts 9 months after year end.
You get: Deadline reminders
What’s included
Fixed one-time prices. Government fees are shown before you pay.
Explorer
$299one-time
UK Ltd, gov. fees included
- Companies House filing
- Year-one registered office and service address
- Articles and share certificates
- Compliance reminders
- Email support
Go
$649one-time
UK Ltd, gov. fees included
Everything in Explorer, plus:
- HMRC registrations (VAT, PAYE, Corporation Tax)
- Bank referral (Wise, Revolut or Payoneer)
- London business address with mail scanning
- WhatsApp support
Pro
$999one-time
UK Ltd, gov. fees included
Everything in Go, plus:
- First confirmation statement, £50 fee included
- Same-day priority filing
- Accounts onboarding
- Priority support, same-day replies
What you’ll need
- Passport photo page for every director and shareholder
- Proof of address for each of them
- Identity verification with GOV.UK One Login for each director and person with significant control. We email the steps
- Two company name choices. We add Ltd or LLP
- What the company will do. We pick the SIC code
Banking
- Go includes a referral to Wise, Revolut or Payoneer, and we prepare your file.
- On Explorer, add bank account help for $199.
Approval is always the bank’s or provider’s decision.
After formation: what’s due
| When | What |
|---|---|
| Every year | Confirmation statement at Companies House, £50 |
| 21 months after incorporation | First annual accounts |
| 9 months after year end | Annual accounts, from the second year |
| 9 months and 1 day after year end | Corporation tax payment |
| 12 months after year end | Company Tax Return (CT600) |
| If accounts are late | Penalty from £150 to £1,500, doubled if late two years running |
United Kingdom company formation FAQs
Can a non-resident own and run a UK company?
Yes. Directors don’t have to live in the UK. The company needs a UK registered office, which we include for year one.
How fast is registration?
Companies House usually registers online applications within 24 hours once every director has verified their identity. Our estimate is 1–3 days after ID checks.
What is the government fee?
£100 to incorporate, included in every package. Pro adds same-day priority filing.
What is identity verification?
Since 18 November 2025, every new director and person with significant control verifies with GOV.UK One Login or an authorised agent, and gets a personal code.
How much corporation tax will I pay?
19% on profit up to £50,000 and 25% above £250,000. In between, marginal relief makes the rate rise gradually.
When do I need to register for VAT?
Once your taxable turnover passes £90,000 in any 12 months, or earlier if you choose. The standard rate is 20%. Go includes the HMRC registrations.
Is tax withheld on dividends I pay myself?
No. The UK withholds no tax on dividends. Your home country may tax them.
Ltd or LLP?
A Ltd is owned by shareholders and pays corporation tax. An LLP needs at least two designated members, and each is taxed on their share of profit.
What do I file each year?
A confirmation statement (£50), annual accounts 9 months after year end and a CT600 return 12 months after year end.
Sources (15)
Rates and fees from official and Big Four sources, with the date each was last reviewed.
- GOV.UK: Corporation Tax rates Live page
- GOV.UK: Corporation Tax marginal relief Live page
- GOV.UK: When to register for VAT Live page
- GOV.UK: VAT rates Live page
- Companies House fees 25 Sep 2026
- GOV.UK: Register your company Live page
- GOV.UK: Directors and company secretaries Live page
- GOV.UK: Company address Live page
- GOV.UK: Identity verification for Companies House In force since 18 Nov 2025
- GOV.UK: Annual accounts and deadlines Live page
- GOV.UK: Late filing penalties Live page
- GOV.UK: Limited liability partnerships Live page
- PwC: UK corporate income tax 23 Jul 2026
- PwC: UK withholding taxes 23 Jul 2026
- PwC: UK corporate residence 23 Jul 2026
General information, not legal or tax advice. Rates and fees change, and your own situation decides what applies. We are not a law firm; where a lawyer or licensed agent is needed, a local partner handles it.
