No Company Income - still paying a salary

[ladymuck]

A PAYE salary is a business transaction that is independent of revenue. I too am struggling to understand why you're worrying about conducting something that is perfectly legit.

Granted, it helps to have cash in the bank to pay the salary but you don't need anything special like sufficient retained profit to pay it. Eve

[ravenscroft]

The comment from the accountant was what I was questioning.
I've gone back to him and asked him to go up his own chain to qualify what he is suggesting.
He suggested that I wasn't 'Trading' so for end of year accounts has suggested salary payment resulted in a loss (which is true), that loss couldn't be carried back to obtain CT relief, it can only be carried forward. (Is this true), but it depends if I was 'Trading'.
Is there a definitive description of 'Trading'

Yes on the face of it I should be paying myself Dividends only - but there are other factors in play.

[jamesbrown]

The comment from the accountant was what I was questioning.
I've gone back to him and asked him to go up his own chain to qualify what he is suggesting.
He suggested that I wasn't 'Trading' so for end of year accounts has suggested salary payment resulted in a loss (which is true), that loss couldn't be carried back to obtain CT relief, it can only be carried forward. (Is this true), but it depends if I was 'Trading'.
Is there a definitive description of 'Trading'

Yes on the face of it I should be paying myself Dividends only - but there are other factors in play.

Ah, this is what I mentioned above.

Honestly, though, if you're looking for work, you're trading and I wouldn't worry about it.

[Peoplesoft bloke]

Also being a boomer in IT doesn't help.

In what way? I'm a boomer in IT and so's my boss

[ladymuck]

In what way? I'm a boomer in IT and so's my boss

I'm Brian, and so is my wife!