£50000 Child Benefit threshold

[rrp]

Thanks.

Figures were a bit hypothetical..

[kingcook]

So....

If you have a LTD company where yourself and partner are directors and shareholders AND you take low salary each (~8k) AND you take say 40k dividends each giving each a total income of 48k each, therefore below the 50k, do you still qualify??

You'd qualify for CB, yes.

Aside though, you'd fall into the higher tax bracket by paying £40K in divs.

[rrp]

So....

If you have a LTD company where yourself and partner are directors and shareholders AND you take low salary each (~8k) AND you take say 40k dividends each giving each a total income of 48k each, therefore below the 50k, do you still qualify??

[~Craig~]

I've just completed the BBC's Budget Calculator putting in salary and div's over 60k and it showed me as still being eligable. The blurb in the box next to the figure stated that I'd still get the child benefit but would receive an additional tax.

Strange...does this sound correct?

[eek]

Effectively then, going to be worth employing your spouse(presently I don't bother) for other tax reasons, then ensure one partner does not go over £50000 take home.

Spreadsheet time.

Employing her will probably cause more problems than just making her a shareholder (mind you if you were running a mail order business sideline you would be ok there).

S660 doesn't seem to have been targeted so I'm going to stick to shareholdings based on other income (and the £8k take home) and ensure neither me or Mrs eek's go above the 40% point.

[MarillionFan]

Effectively then, going to be worth employing your spouse(presently I don't bother) for other tax reasons, then ensure one partner does not go over £50000 take home.

Spreadsheet time.

[Friday Blue]

IMHO, thresholds should be relative to median income in the region - £60,000K in Greater London does not go long way at all!

£60,000K <-- £60,000,000

Sorry it must be done

[mos]

So the well off get more and the less well off get less. Yeah, great policy, can see that one flying.... not. Ok ok doesn't mean you are more well off in London I know but you can see how it won't work and the general (wrong) perception will be bashed around just as I have.

Sorry, wrong audience ... I live in Kensington ...

[northernladuk]

IMHO, thresholds should be relative to median income in the region - £60,000K in Greater London does not go long way at all!

So the well off get more and the less well off get less. Yeah, great policy, can see that one flying.... not. Ok ok doesn't mean you are more well off in London I know but you can see how it won't work and the general (wrong) perception will be bashed around just as I have.

[mos]

Child benefit threshold rises to £50,000 in 2012 budget | UK news | guardian.co.uk

So how will contractors define this threshold.

Salary (9k) + Divvies(after CT)??

Or Turnover based?

And does that include other income (ie. savings/interest/rents etc)

IMHO, thresholds should be relative to median income in the region - £60,000K in Greater London does not go long way at all!

[Iron Condor]

Total income figure on your Self assessment return surely.

[MarillionFan]

Child benefit threshold rises to £50,000 in 2012 budget | UK news | guardian.co.uk

So how will contractors define this threshold.

Salary (9k) + Divvies(after CT)??

Or Turnover based?

And does that include other income (ie. savings/interest/rents etc)