Taxes and costs of a UK Limited
as a Spain resident
What the company pays in the UK, what you declare in Spain and what it costs with Aiden — no savings promises: every tax situation is different.
What your company pays in the UK
Your UK Limited pays British Corporation Tax on its profit, at HMRC's current official rates, and files its annual accounts and CT600. With Aiden, filings go with the PRO plan or by quote.
What you declare in Spain
As a Spanish tax resident you pay IRPF on what you take from the company: salary in the general base and dividends in the savings base, at the AEAT's official rates. The Spain-UK Double Taxation Convention (1976) prevents paying twice on the same income.
What it costs with Aiden
€190 one-off opening + €19.99/month, no lock-in: formation, registered address in London, Aiden Books and support in Spanish. The official Companies House fees payable by the client are detailed on the pricing page and in the terms.
This page is general orientation, not personalised tax advice. Your real tax burden depends on your situation, deductions and VAT regime: for concrete numbers, book a free call with our advisors.
In the words of our founders
What follows are not client testimonials: they are hypothetical examples of situations we commonly handle, using the real terms of the offer.
Hypothetical examples: these are not testimonials or reviews from real clients. The terms quoted (timelines, SLAs, prices) are those of the current published offer.
How does it work in practice?
Is it legal to have a UK Limited while being tax resident in Spain?
Yes, completely. You are a Spanish tax resident and pay tax on your personal income here (salary or dividends taken from your UK Limited), while the company pays Corporation Tax in the UK. It has been a common structure among Spanish freelancers and founders for years. What matters is declaring everything you take from the company correctly in your Spanish IRPF.
How do I get paid my salary from the UK Limited in Spain?
There are two main routes: (1) a monthly salary from the company with IRPF withholding, or (2) dividends at year end, taxed in the savings base. Aiden helps you choose the right combination for your situation.
What about the self-employed social security contribution? Do I still have to pay it?
No. If your only income is as director/sole shareholder of your UK Limited, you deregister as self-employed in Spain. You should still contribute something (minimal) to keep healthcare cover and benefits. Aiden advises you on the right structure.
Is there a risk of double taxation?
No, thanks to the Spain-UK Double Taxation Treaty in place since 1976. What you pay in the UK as Corporation Tax is deducted from your Spanish IRPF on dividends. Aiden manages all the necessary documentation.
How long does it take for my UK Limited to become operational?
We file within 24-48 working hours and Companies House usually approves within 24-72 hours. Then the bank account (we guide you with Wise Business; full handling by Aiden optional, €129) takes an extra 3-7 days. Total: you are invoicing in about 2 weeks.
What happens if the Spanish Tax Agency (Hacienda) audits me?
As long as your structure and filings are correct (and with Aiden they are: we declare everything, total transparency), there's no risk. The UK Limited is a legal structure recognised internationally. We'll support you through any audit if needed.