Originally posted by Bumfluff
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Reply to: Quick And Dirty Calculation
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Previously on "Quick And Dirty Calculation"
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Originally posted by Nixon Williams View PostAssuming that the interest is the gross amount, (tax is normally deducted at 20% BTW) and that the dividend is net, the gross income would be as follows:
Salary £12,000
Interest £10,035
Dividends £22,222
Total £44,257
Less Personal allowance of £6035 & HR band of £34800 leaves £3422 subject to Higher Rate (HR) tax.
The HR tax on the dividends is effectively 22.5% of the gross, so this would leave tax due of £770
As previously said, this assumes that the correct PAYE has been deducted from the salary and that the interest above is gross.
Alan
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Assuming that the interest is the gross amount, (tax is normally deducted at 20% BTW) and that the dividend is net, the gross income would be as follows:
Salary £12,000
Interest £10,035
Dividends £22,222
Total £44,257
Less Personal allowance of £6035 & HR band of £34800 leaves £3422 subject to Higher Rate (HR) tax.
The HR tax on the dividends is effectively 22.5% of the gross, so this would leave tax due of £770
As previously said, this assumes that the correct PAYE has been deducted from the salary and that the interest above is gross.
Alan
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On the basis that the tax has been deducted properly from your salary, you will have an additional £1130 to pay.
Nice chunk of interest, BTW
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Quick And Dirty Calculation
I'm trying to work out my self assessment liability for 08-09 as I want to reduce payment on account due Jan 31 09. My 08-09 figures are below, tax on sal PAYE, tax on interest at source not sure what to do with divs though,
Salary £12,000 Tax paid at source
Interest £10,035 22% tax paid at source
Divs £20,000
Total £42,035
Yes have asked accountant but waiting for a reply, anyone any ideas ?Tags: None
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