Scotland

SCOTLAND (LP)

An LP is a partnership between at least one general partner, who has unlimited liability for the debts and obligations of the LP, and one or more limited partners who contribute capital to the LP (either by contributing cash or property).

 

Limited Liability

One of the main advantages of LPs is that, provided they do not take part in the management of the LP, the liability of each of the limited partners is capped at the amount of its contribution to the LP, which means that limited partners benefit from the same limited liability status as shareholders in a limited company.

 

Tax transparency

LPs are broadly transparent for UK direct tax purposes and are not treated as separate taxable entities by HMRC. UK tax residents who are partners in LPs are directly assessed to tax on their share of the income or gains of the LP and therefore are not subject to multiple layers of UK taxation.
Partners who are not UK resident or ordinarily resident will only pay UK tax on UK source income, including their share of profits arising in the UK if the partnership carries on a trade in the UK.

 

Name restrictions

The following words are restricted and require additional checking in the UK:
Abortion, Anzac, Architect, Association, Assurance, Assurer, Authority, Benevolent, Board, British, Building Society, Chamber(s) of Business, Chamber(s) of Commerce and Industry, Chamber(s) of Commerce, Chamber(s) of Commerce, Chamber(s) of Enterprise, Chamber(s) of Industry, Chamber(s) of Trade and Industry, Chamber(s) of Trade, Chamber(s) of Training and Enterprise, Chamber(s) of Training, Charitable, Charity, Charter, Chartered, Chemist, Chemistry, Chiropodist, Contact Lens, Co-operative, Council, Credit Union, Dental Practitioner, Dental Surgeon, Dental, Dentist, Dentistry, Dietician, Dispensing Optician, District Nurse, Druggist, Duke, England, English, Enrolled Optician, European, Federation, Foundation, Friendly society, Fund, Geneva Cross, Great Britain, Group, Health Centre, Health Service, Health Visitor, Her Majesty, His Majesty, Holding, Industrial & provident society, Institute, Institute of Laryngology, Institute of Orthopaedics, Institute of Otology, Institute of Urology, Institution, Insurance, Insurer, International, Ireland, Irish, King, Medical Laboratory, Midwife, Midwifery, National, Nurse, Nursing, Occupational Therapist, Olympiad, Olympiads, Olympian, Olympians, Olympic, Olympics, Ophthalmic Optician, Optometrist,,Orthoptist, Patent, Patent Agent, Patent Office, Patentee, Pharmaceutical, Pharmaceutics, Pharmacist, Pharmacy, Physiotherapist, Police, Polytechnic, Post office, Pregnancy, Prince, Princess, Queen, Radiographer, Reassurance, Reassure, Red Crescent, Red Cross, Red Lion and Sun, Register, Registered, Registered Optician, Re-insurance, Reinsurer, Remedial Gymnast, Royale, Royalty, Scotland, Scottish, Sheffield, Society, Solicitor (Scotland), Special School, Stock exchange, Technician, Termination, Trade union, Training and Enterprise, Trust, United Kingdom, University, Vet, Veterinary Surgeon, Veterinary, Wales, Welsh, Windsor.

 

For company opening please provide the following:

  • Name suggestion (2-3)
  •  Passport copy (both for General Partner and Limited partner) – please send the original
  •  Utility bill (both for General Partner and Limited partner) – please send the original

Agent will draft relevant documents for client’s signature after the following information is submitted:

  •  Company/ownership structure (ID’ documents – passport copy, utility bill)
  • Business plan
  • Short description of business activities

INCORPORATION COSTS
  • Registered office
    Courier fee
    875 GBP
  • Certification (Registered certificate+Partnership Agreement) OR
    500 GBP
  • Certification (Registered certificate)
    300 GBP

ANNUAL FEES
  • Registered office
    300 GBP

OTHER SERVICES
  • Nominee service (EU based)
    + 2000 GBP annualy *
  • Nominee service (Non-EU based)
    + 1500 GBP annualy *
Full list of optional costs available upon request

About Scotland

Scotland is a country that is part of the United Kingdom and covers northern third of the island of Great Britain. Edinburgh is the country’s capital and second-largest city, after Glasgow.

Scotland’s head of state is the monarch of the United Kingdom, currently Queen Elizabeth II. Scotland has limited self-government within the United Kingdom, as well as representation in the UK Parliament. Executive and legislative powers respectively have been devolved to the Scottish Government and the Scottish Parliament at Holyrood in Edinburgh since 1999. The UK Parliament retains control over reserved matters specified in the Scotland Act 1998, including UK taxes, social security, defence, international relations and broadcasting. The Scottish Parliament has legislative authority for all other areas relating to Scotland, as well as a limited power to vary income tax.

 

What is Scotland LP ?

An LP is a partnership between at least one general partner, who has unlimited liability for the debts and obligations of the LP, and one or more limited partners who contribute capital to the LP (either by contributing cash or property). One of the main advantages of LPs is that, provided they do not take part in the management of the LP, the liability of each of the limited partners is capped at the amount of its contribution to the LP, which means that limited partners benefit from the same limited liability status as shareholders in a limited company.

 

Taxes in Scotland

LPs are broadly transparent for UK direct tax purposes and are not treated as separate taxable entities by HMRC. UK tax residents who are partners in LPs are directly assessed to tax on their share of the income or gains of the LP and therefore are not subject to multiple layers of UK taxation.

Partners who are not UK resident or ordinarily resident will only pay UK tax on UK source income, including their share of profits arising in the UK if the partnership carries on a trade in the UK.

 

Nominee Service

Nominee service is available and is consisted of one General Partner and one Limited Partner. Clients can pick between EU and Non-EU based Nominee service.

 

Accounting and Audit

Every Scottish LP must keep appropriate accounting records, and prepare a Financial Statement annually. Also, Tax Declaration must be submitted to the UK Inland Revenue annually.

 

List of documents received for standard Scottish LP

  • Certificate of Formation
  • Certificate of Registration
  • LLC Agreement
  • Resolution of Drawings

 

Privacy

Company House will hold on public records only names of the Members, which are commonly offshore entities.

 

Restricted activities

The following business activities can not be permitted without a licence: Fund management, insurance, Banking, reinsurance, assurance, trust management, collective investment schemes, trusteeship business provision.

 

Bank account

For Scotland LP we can assist you with the bank account opening internationally. The banks we cooperate with are reliable financial institutions with a long tradition in private and corporate banking. Our clients are provided with an excellent customer service, online banking, Visa and/or Master cards, as well as other services, such as factoring, foreign exchange, savings and specialized banking solutions.

 

More Info