Self Assessment

[diviking]

The instructions for the Employment pages basically say that if you are a director, include in boxes 1.8-1.10 ALL income received.

q1 - this does not include dividends, correct?

It goes on to say that if you received no income, including deemed Employment payment (IR35 rules), then include a note in the Additional Information box 23.5 explaining why you ticked the box, but didnt include any income and didnt fill in the employment section.

Last year I took only dividends out of my new company, no salary.
My further questions are:
q2 - Is filling in the Additional Information text box likely to trigger an investigation?
q3 - How much information should be included?
q4 - Does anyone have a good example of this?

q5 - is it recommended to take out PCG insurance?

Thanks

di viking

[mailmannz]

So are we meant to have received anything in the mail about tax assessment for 31 Jan or what?

Mailman

[4Contractors]

diviking

Dividends are recorded in a separate area to employment salary.

I think you may have been given bad advice on payments to yourself from your company. All good accountants would advise paying a nominal salary as well as dividends.

Not paying a salary is more likely to expose you to problems with the Inland Revenue than anything else you mentioned.

[diviking]

thanks

************

Thanks for the info. re: dividends - I know they're recorded elsewhere, but I was confused about the terminology they were using in the 'filling in your tax return' guidance notes; even with a booklet that large, it's still not explicit.

Time to hand over to an accountant who will helpfully perform damage limitation!!

ta