Max Dividend Question

[BolshieBastard]

Sometimes unqualified people with practical experience has more knowledge than qualified accountants...My accountant is 1 man army so no partner I am afraid. Thanks..;-)

Sorry but if you believe that, you need to change your accountant! In fact seeing as you say he's on his own, I would.

My accountant is in a practice which was one criteria I looked for.

[pmeswani]

Sorry but if you believe that, you need to change your accountant! In fact seeing as you say he's on his own, I would.

My accountant is in a practice which was one criteria I looked for.

WHS

[IR35 Avoider]

I can't believe the pettyness of taking away the personal allowance from people earning more than 100K.

In fact it's the "bodginess" of it that really annoys me.

I say have one personal allowance they everyone gets, set at such a level that precisely 50% of people are net tax-payers, and have a single rate of tax that is whatever it needs to be to cover government spending. Both personal allowance and rate of tax to be determined at arms-length from government by the ONS.

This should ensure that people who benefit from increased spending are always even balanced with those who have to pay for it, when it comes to elections.

[escapeUK]

This should ensure that people who benefit from increased spending are always even balanced with those who have to pay for it, when it comes to elections.

Hmmmm, personally I would say "no representation without taxation." Why should those who make no financial contribution to society help decide how others contribution be spent?

I agree with your flat tax idea though. Really it should never have gone above 10%-15% to spend on essentials, now when you consider Income tax, Ni, Vat and all the other hidden taxes people probably pay 50-60%, and for what??? Sigh..

Oh and to the original poster, I would ask why your accountant why you are taking £12k salary. This is not the tax efficient way, and means you will be paying two lots of NI.

[BrandNewCUKUser]

You have an accountant but want a second opinion from unqualified people on here?

Why not tell you're accountant you want one of his partners to confirm his calculations instead?

I don't see anything wrong with checking the figures against the collective wisdom on this board. Saying that there are also a few accountants here who contribute occasionally so I wouldn't say everyone's unqualified..

Someone might also stumble across the answer when searching for info and find it useful too. While the new 50% tax rate gets all the headlines actually the loss of personal allowance is probably more relevant for the average IT contractor and in my experience it's not widely understood.