Limited company with 2 directors - Tier 1 visa holders.

[northernladuk]

Holiday?

You should be so lucky You would miss me anyway.

[TheFaQQer]

Jesus I would have a field day on there. Most of those posters need refusing for not applying a bit of common sense. It's worse than on here

Holiday?

[northernladuk]

BTW: Immigrationboards.com :: Index is a better place for immigration questions.

Jesus I would have a field day on there. Most of those posters need refusing for not applying a bit of common sense. It's worse than on here

[Craig@Clarity]

LOL @ Craig.

You got a new sockie Craig ??

Either that or there is an echo in here in here

[TestMangler]

W"I"S

LOL @ Craig.

You got a new sockie Craig ??

[xing]

I think you should read Paragraph 109 and onwards of the T1 application guidance

BTW: Immigrationboards.com :: Index is a better place for immigration questions.

Thank you all for your replies!!!

To clarify my question further.
My husband and I are on Tier 1 General Visa. Both of us are on different contract rates , and when
we declare dividends , we take equal share. So there is a possibiliy that one of us take more than
what we earn (profit made to the company). Although, we take care that we don't do that.

Now for visa extension, income is one of the attributes for which we get points. How do we prove
to UKBA that the money which we take as salary and dividend are what we are eligible for and not
more than what we earn.

Sorry if this question is confusing...
Really appreciate if anyone could provide any of their views...

[rambaugh]

Get a letter from a chartered accountant to verify your income (PAYE+Div's). Get your accountant to outline that you are a Director of a limited company with X% ownership and in the same letter get your accountant to declare the amount of net profit the company made in that year.

Because your income is based on PAYE+Div's you shouldn't have to worry about the company ownership split. Use additional evidence such as bank statements to corroborate your income payments. That should do it.

[Bumble79]

Thank you all for your replies!!!

To clarify my question further.
My husband and I are on Tier 1 General Visa. Both of us are on different contract rates , and when
we declare dividends , we take equal share. So there is a possibiliy that one of us take more than
what we earn (profit made to the company). Although, we take care that we don't do that.

Now for visa extension, income is one of the attributes for which we get points. How do we prove
to UKBA that the money which we take as salary and dividend are what we are eligible for and not
more than what we earn.

Sorry if this question is confusing...
Really appreciate if anyone could provide any of their views...

[northernladuk]

I guess you have seen this about scoring points as directors? Sorry if you have.

UK Border Agency | Scoring points for being registered as a company director or as self-employed

Scoring points for being registered as a company director or as self-employed
Can you apply?

This page explains how you can score points for being registered as a company director or as self-employed, if you are applying to extend your permission to stay in the UK under Tier 1 (Entrepreneur).

You will score 20 points if you have:

registered with HM Revenue & Customs as self-employed; or registered a new business in which you are a director; or registered as a director of an existing business. If you are currently in the UK under Tier 1 (Entrepreneur), you must have registered no more than 6 months after your 'specified date' (see below).

You will need to send us evidence to prove that you meet these requirements. The Documents required section explains what you will need to send.

If you are currently in the UK as a business person or an innovator, you do not have to provide this evidence, but you must be registered at the time when you make your extension application.

What is your 'specified date'?
If you are currently in the UK under Tier 1 (Entrepreneur), your specified date can be:

the date when you entered the UK, if you applied to Tier 1 (Entrepreneur) from abroad and can produce evidence of your arrival date; or the date when you were awarded a visa or permission to stay in the UK under Tier 1 (Entrepreneur). Normally we will take your specified date to be the date when you were awarded a visa or permission to stay. This date will be shown on:

the stamp or vignette in your passport, if you applied to Tier 1 (Entrepreneur) from abroad; or the approval document that we sent to confirm your permission to stay, If you applied under Tier 1 (Entrepreneur) from inside the UK. If you want your specified date to be the date when you entered the UK under Tier 1 (Entrepreneur), you must provide evidence to establish this date.

[xing]

It's not a problem. UKBA doesn't care your contract rates or how do you split the profit as long as you both can provide evidence of enough previous earnings (salary and dividend in your case).

Since you're applying at different times, if necessary, you can also adjust the share structure and declare a large dividend in favor the person just before the application in order to secure enough earning points.

Disclaimer: This is purely personal opinion and by no means consistute an immigration advise.

Hi,

My husband and I are directors of limited company as equal share holders.
We both are on different contract rates.

We both hold Tier 1 Visa to live and work in the UK. Now my question here is,
at the time of visa extenstion, we need to show our proof of income. Since we
both hold 1:1 share, we split the profit of the company equally and take as
dividends. Since we are on different contract rates, will this be alright ?
Will UKBA raise this an issue?


Please advise. My husbands visa extension is coming up in May and mine in
OCtober 2012. Is it advisable to set up a new limited company and me moving
over?

Any help, advice or suggestions are welcome.

Thank you!

[Craig@Clarity]

It is not an issue you being a 50:50 shareholder with you husband and because you are on different contract rates is also not an issue on this point.

Also just need to make sure you keep an eye on the turnover for your eligibilty for both Standard and Flat Rate Scheme Vat.

If you have an accountant they can produce a reference letter which shows what funds are in the company and what is available for dividends at a 50:50 split for both of you.

I would check what the criteria is from the UKBA to show your proof of income.

Some tax planning would be ver helpful for you as you have different extensions and it is always good to stay below the higher rate tax threshold if this is what you want?

You don't have to set up a new limited company as everything in the company is split 50:50.

We have many clients at my firm who have there company structure set up like yours.

Hope this helps in your application

W"I"S

[Jeremiah@RHJAccountants]

It is not an issue you being a 50:50 shareholder with you husband and because you are on different contract rates is also not an issue on this point.

Also just need to make sure you keep an eye on the turnover for your eligibilty for both Standard and Flat Rate Scheme Vat.

If you have an accountant they can produce a reference letter which shows what funds are in the company and what is available for dividends at a 50:50 split for both of you.

I would check what the criteria is from the UKBA to show your proof of income.

Some tax planning would be ver helpful for you as you have different extensions and it is always good to stay below the higher rate tax threshold if this is what you want?

You don't have to set up a new limited company as everything in the company is split 50:50.

We have many clients at my firm who have there company structure set up like yours.

Hope this helps in your application

[Craig@Clarity]

Since you're married, there is no issue with being 50:50 shareholder with your husband regardless of whether you're on different contract rates.

IT's also fine to both be working through the same limited company for your contracting work. Just keep an eye on your turnover and how that may affect your VAT registration limited for both standard and flat rate VAT eligibility.

If you need business insurance make sure that if anything goes wrong on either of your contracts, it doesn't affect the other from a commercial point of view.

You'll need to check the UKBA criteria for showing each of your income for visa extensions, but I don't think there will be a problem being joint shareholders and directors as long as you earn enough income from their point of view. Since your extensions are at different times of the year, you'll need to do a bit of tax planning too or you may both may end up taking more dividends that is required just to satisfy each of your visas. A clean and simple solution here would be to have your own company.

Hope this helps

[Bumble79]

Hi,

My husband and I are directors of limited company as equal share holders.
We both are on different contract rates.

We both hold Tier 1 Visa to live and work in the UK. Now my question here is,
at the time of visa extenstion, we need to show our proof of income. Since we
both hold 1:1 share, we split the profit of the company equally and take as
dividends. Since we are on different contract rates, will this be alright ?
Will UKBA raise this an issue?


Please advise. My husbands visa extension is coming up in May and mine in
OCtober 2012. Is it advisable to set up a new limited company and me moving
over?

Any help, advice or suggestions are welcome.

Thank you!