Taking a large dividend efficiently

[PerfectStorm]

I took out a monster 0% credit card years ago a few months pre-tax year and I'm still paying it off today. I suppose that's a good thing - I never added to the debt and it will all be paid off efficiently maximising cash flow. Don't do it too much though.

[eek]

I took out a monster 0% credit card years ago a few months pre-tax year and I'm still paying it off today. I suppose that's a good thing - I never added to the debt and it will all be paid off efficiently maximising cash flow. Don't do it too much though.

It's more - make sure you have it paid off before the 0% period runs out because there is zero guarantee that you will be able to transfer the debt onto another zero percent card.

[goldengoose]

You can submit a claim to reduce your POA, on the basis that your income for this tax year was unusually large and unlikely to be the same next year - https://www.gov.uk/hmrc-internal-man...manual/sam1001

Worth being careful here , If you pay too little on your POA you get penalties/interest.

[gazelle]

Just read through this thread, a few people mentioned extending your mortgage? how does that work to reduce the dividend tax you pay?
That's confused me

[WTFH]

Just read through this thread, a few people mentioned extending your mortgage? how does that work to reduce the dividend tax you pay?
That's confused me

Instead of taking out extra dividends and paying tax on them, it may be more cost effective, etc, just to extend your mortgage to get the extra funds.

[gazelle]

Instead of taking out extra dividends and paying tax on them, it may be more cost effective, etc, just to extend your mortgage to get the extra funds.

lol as simple as that - I missed that - I thought there was some clever way extending mortgage which can be used to reduce dividend tax - my bad