Hey guys, I'm very new here and also to company/business structure so please bear with me! I will be attempting to start a company over the next few weeks, and resultantly I've been digging around for the past few weeks trying to muster up what I can on the correct company structure (we've decided on a company because we can't risk the liability), however I can't seem to grasp the whole concept due to mixed responses. We've decided on a Proprietary Limited structure, as we don't plan to go public, and not becoming limited by shares would open us to unlimited liability. Since our 'company' will consist of 3 people, and we don't plan to expand or offer any employee shares any time soon, we've decided that 3 shares at $1 each is substantial. What I'm completely stumped on is how company tax works. To my understanding, our personal income will have to go through a 30% tax on company profits, then our each individual personal tax (up to 48% on the highest tax bracket). However, if the 30% company tax only applies to profits, and we (all directors and equal share holders) as employees, are paid a wage or remuneration, does this not bypass the company tax? As these are company expenditures, only whatever is left (essentially nothing) are considered company profits, then suffer the 30% company tax? Is my understanding of this correct? What are the alternative/optimal methods are there of paying ourselves? Also, as share holders AND employees, do our wages 'belong to the company' as our shares do, and resultantly are at risk if every sued? Many thanks in advance for any help guys!