I understand you can get Inc Tax relief @ 30% for VCT investments.
If I were to take divs from MyCo well into the 25% additional tax owed bracket and invest in a VCT would I in effect be paying hugely reduced tax? Or have I grossly misunderstood this?
For example, I take 60K above the tax bracket out as a gross div, meaning an additional tax liability of 15K owed to hector. I then put the 54K cash into a VCT and claim tax relief of 16.2K against the tax owed?
Oi NLUK, yes I could ask my accountant but I wanted some 'specialist' advice here. (and no I haven't done a search)
If I were to take divs from MyCo well into the 25% additional tax owed bracket and invest in a VCT would I in effect be paying hugely reduced tax? Or have I grossly misunderstood this?
For example, I take 60K above the tax bracket out as a gross div, meaning an additional tax liability of 15K owed to hector. I then put the 54K cash into a VCT and claim tax relief of 16.2K against the tax owed?
Oi NLUK, yes I could ask my accountant but I wanted some 'specialist' advice here. (and no I haven't done a search)
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