Help Self assessment

[AZZIK]

I am with Giant powerhouse, and get dividends around 2200 a month. I am a shareholder I think and not a director does anyone know if I need to fill in a tax return as Giant told me you only need to fill one in if IR send you one. How do I calculate if I am in the higher tax bracket or if I owe any additional tax on my dividends. I am a bit panicky as have been with giant over a year and half so not sure if I will get in trouble with the IR.

Are you with Giant Powerhouse and do you fill in tax return?

[itcontractor07]

Yes, I am with Giant Powerhouse for the last 18 months. Yes they are right, you need to file your tax return only if they ask you, which happened in my case and I have filed the return. While filing the return it is straight forward, you are not a director of the company, as you can see your dividend receipt and minutes of meeting (Which you see in payroll section of the portal) are not signed by you. If you were a directory, you should have also signed the minutes of meeting etc declaring the dividends to the share holders.

BTW: Being with Giant, If you are asked to file return and your income happens to be in the higher rate tax bracket, you will end up paying that extra tax. As Giant doesn't deduct this before hand, but clearly mentions this statement at the bottom of the payslip.

Hope this helps.

Cheers

[simondolan]

I am with Giant powerhouse, and get dividends around 2200 a month. I am a shareholder I think and not a director does anyone know if I need to fill in a tax return as Giant told me you only need to fill one in if IR send you one. How do I calculate if I am in the higher tax bracket or if I owe any additional tax on my dividends. I am a bit panicky as have been with giant over a year and half so not sure if I will get in trouble with the IR.

Are you with Giant Powerhouse and do you fill in tax return?

You'll need to complete a Tax Return if:

1. You've been sent one, or
2. You are a higher rate tax payer and receive dividends or any other taxable income (non PAYE), or
3. You have any untaxed income

To work out if you are a higher rate tax payer you will need to add up your dividends for the year and multiply by 1.111 to give the gross dividend for tax purposes, so your £2200 a month comes to £29330. Add to this your gross salary, gross interest received, and any other taxable income (rental income for eg)

If this total figure exceeds £38335 (this year) you are a higher rate tax payer.

[itcontractor07]

That's great Simon.


AZZIK: see you have got the info from the person who is in the right authority. Although I have shared my view, it was just out of my limited knowledge.

I really appreciate your attitude simon in helping your potential customers.

Keep it up

Cheers

[AZZIK]

sorry for this stupid question but is the net dividend = divident plus tax credit then multiply these by 1.111?
Thanks both for your replies

[Hector]

This is all clearly published on the website, so noone has any excuse for not submitting the correct tax on time:

http://www.hmrc.gov.uk/sa/guidelines.htm

People that don't understand these simple matters deserve all the fines and penalties that they get in my opinion.

[Nixon Williams]

sorry for this stupid question but is the net dividend = divident plus tax credit then multiply these by 1.111?
Thanks both for your replies

Or divide the net dividend by 0.9, so a £900 dividend equals a gross dividend of £1000

If you have not been sent a tax return but you should complete one you have until the 5th October after the end of the tax year to let the Revenue know.

Alan

[YNWA]

Im sure it is compulsory to complete and a Tax return if you are a 'Director' as well?

[Bluebird]

Im sure it is compulsory to complete and a Tax return if you are a 'Director' as well?

I've never done this and have been a director for about 4 years...