Is this any different from normal NI deducations?
Example scenario:
Company has 2 directors. Both are paid salaries that are on the ET ( £5435 or 453/month ). The rest of their earnings are derived from dividends. HMRC talks about total earnings ( including bonuses ). Is dividends seen as part of total earnings by HMRC?
If i am right, under "normal" NI deductions, the £5435 pays 0% NI same as the tax part? Correct if I am wrong.
Question is asked as I know someone thats has the above situation but one director got a letter from Hector asking for NI for past 13 weeks ( at £2.30/week I think ), the other didnt get one. So slightly confused??
Example scenario:
Company has 2 directors. Both are paid salaries that are on the ET ( £5435 or 453/month ). The rest of their earnings are derived from dividends. HMRC talks about total earnings ( including bonuses ). Is dividends seen as part of total earnings by HMRC?
If i am right, under "normal" NI deductions, the £5435 pays 0% NI same as the tax part? Correct if I am wrong.
Question is asked as I know someone thats has the above situation but one director got a letter from Hector asking for NI for past 13 weeks ( at £2.30/week I think ), the other didnt get one. So slightly confused??
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