Incorporation services in Northern Ireland
The Northern Ireland economy has in the past been dominated by manufacturing industry and agriculture, but there has been a shift over the last 30 years to a more service-based economy including the public sector. The largest private sectors in Northern Ireland are wholesale and retail, manufacturing, and business and professional services (real estate and renting and business activities). However, as the Varney Review argued, there are also significant opportunities for the Northern Ireland economy which can be seen in the creation of new markets in other sectors such as information and communication technologies and financial services.
The government has recognised that rebalancing of the Northern Ireland economy will depend on high productivity sectors becoming larger and firms within all sectors increasing their productivity.
Most common forms of business vehicle
The company is the most common form of business entity and the principal corporate legislation is contained in the:
- Companies Act 2006.
- Insolvency (Northern Ireland) Order 1989.
This legislation regulates the formation and dissolution of companies, share capital, distributions, duties and conduct of directors, publication of accounts and other documents, and the management and administration of companies. The advantage of a company is that it is an entity separate from its shareholders.
There are three types of limited company:
Both general and limited partnerships are commonly used. Unlike companies, partnerships have no separate legal personality. The law relating to partnerships is contained in the:
- Partnership Act 1890, which applies to both types.
- Limited Partnerships Act 1907, which applies to limited partnerships only.
The main type of partnership is the general partnership. An ordinary/general partnership is defined as the relationship subsisting between persons carrying on a business in common with a view to profit (section 1(1), Partnership Act 1890). A partnership agreement must be drawn up and the basic terms to be considered are contained in the Partnership Act 1890.
A limited partnership is defined as consisting of both (section 4(2), Limited Partnership Act 1907):
- at the time of entering into the partnership contribute a sum or sums as capital or property valued at a stated amount;
- are not be liable for the debts or obligations of the firm beyond the amount so contributed.
The Limited Liability Partnership Act (Northern Ireland) 2002, which came into force in Northern Ireland in July 2003, provides for limited liability partnerships which would allow the partnership structure to be retained while protecting the personal assets of a partner against claims for which they have no responsibility.
Northern Ireland LLP – Tax planning credentials
Subject to the use of the correct structure and that there are no N.I./UK activities or ultimate British beneficial owners it seems that the Inland Revenue will not seek UK tax at either a corporate or individual level.
If a Northern Ireland LLP has only non-resident partners & no N.I./UK Business, it will not be taxed in Northern Ireland and UK.
There is no requirement for a N.I. LLP to have a British partner. As explained below no taxation should arise on non-resident partners on income from a N.I. LLP where the business of that Northern Ireland LLP is managed, controlled and carried out outside the United Kingdom.
General LLP benefits
Other partnerships may be tempted to use a limited liability partnership for the same reason. A limited liability partnership may also be appropriate for a partnership where some partners are not actively involved. They might have once been called “sleeping” partners. This structure will be suitable for people engaging together in a property or finance venture.
A limited liability partnership is unlikely to be useful for a small trading company of any sort because a conventional limited company is likely to perform an appropriate role at less cost.
Tax exemption – the highest degree of credibility
N.I. LLP’s provided by our Firm must be formed with a view to making profit and for the purpose of undertaking the international trade of goods or services either as principal or agent or for the provision of consultancy or related services.
With the agreement of the other members, a member may become a designated member at any time. Designated members enjoy the same rights and owe the same duties towards the limited liability partnership as any other member. These mutual rights and duties are governed by the limited liability partnership agreement and the general law. However, the law also places additional responsibilities on designated members.
There can be an unlimited number of members.
Shelf LLP´s available
Yes – list available upon request.
Time to incorporate
Approx. 24 to 48 (working) hours.
Our company licensing services
— What we do and do not do
Our company is EXCLUSIVELY engaged in assisting worldwide clients, either individuals or corporate entities, to get duly and properly licensed with local Regulators and Financial Authorities to get respective official licenses to legally carry out their cryptocurrency or financial related business activities.
TBA & Associates Tax Business Advisors does not provide or carry out any sort of Cryptocurrency or Financial services!
Disclaimer: While TBA & Associates strives to make the information on this website as timely and accurate as possible, the information itself is for reference purposes only. You should not substitute the information provided in this article for competent legal advice. Feel free to contact TBA Customer Services for advice on your specific cases.