Wages/Dividends

[FiveTimes]

Yes, but that probably counts as fraud.

All you need to do is sign a piece of paper.

How is that fraud ?

[VectraMan]

How is that fraud ?

The dividend declaration says something like "It was decided at a meeting of the board on date X to distrubte a dividend of Y". You can't pay the dividend without that (I guess that would be theft), and if you do the decleration later and put an earlier date on it then that would be fraud.

Of course, as long as it was all done before the year end you'd never get caught...

People here talk about vouchers, but SJD tell me there's no need for them. So all I ever do is sign a form, keep it with the company records and send a copy to the accountant for their records.

[Bluebird]

The vouchers are to do with recording the tax relief you've rec'd so you can prove it to HMRC - bit like a payslip I would guess.

I've got share in other companies [ utilities etc ] and they always issue divdned vouchers which say they should be "kept in a safe place"

[Hector]

Does anyone know if there is limit to how many dividends you can take in a month or the amount. Is there a restriction in amount too?

Taking dividends means that you are avoiding your fair share of tax.

You should not be taking any dividends at all, paying yourself through PAYE instead.

[Bluebird]

Taking dividends means that you are avoiding your fair share of tax.

You should not be taking any dividends at all, paying yourself through PAYE instead.

If nobody should be taking dividends why is it taxed ?

[weboo]

I think the more frequently you take them, the more appealing you become for the tax man. Weekly used to be a no no, monthly is ok. If you can live on them being less frequent, then even better

My accountant advised to take 2600 a month divs and 440 wages a month, the wife gets 277 divs and 440 wages too. We have enough to get by, a lot less than with the old MSC....but its curbing her spending which is good

[Bluebird]

I think the more frequently you take them, the more appealing you become for the tax man. Weekly used to be a no no, monthly is ok. If you can live on them being less frequent, then even better

My accountant advised to take 2600 a month divs and 440 wages a month, the wife gets 277 divs and 440 wages too. We have enough to get by, a lot less than with the old MSC....but its curbing her spending which is good

don't forget your dividnd distribution MUST be based on your share allocation, so if you paying £2877 per month and you persoally get £2600 [ 90.37% ], then you must have 90.37% of the shares and your wife 9.63%.

[angusglover]

I think the more frequently you take them, the more appealing you become for the tax man. Weekly used to be a no no, monthly is ok. If you can live on them being less frequent, then even better

My accountant advised to take 2600 a month divs and 440 wages a month, the wife gets 277 divs and 440 wages too. We have enough to get by, a lot less than with the old MSC....but its curbing her spending which is good

I was advised 750 month salary and 2100 month divs...

[Bluebird]

I was advised 750 month salary and 2100 month divs...

salary = anothing above min wage
divdends - will depend on your other income, but you don't really want to breach the £38 mark [ total personal income ] which triggers the normal tax on divis.

Angus, you should be ok if it's just salary & divis you get as income...

[Wesdev]

So what do i do? Write the div's meetings minutes and fill in the vouchers retrospectively? Then write 1 big div and then none for the rest of the year? or atleast until i really need it (making sure i keep under the 38k mark?) Then keep it per quarter (like i had originally planned)?

Would i be ok?