Taking a 2013/14 dividend a couple of days early?

[Gonzo]

As others have said, take the money out of the company and record a debit to the Directors Loan Account for the amount taken.

Credit the DLA again when you declare a dividend in the new year.

I wouldn't take the full £5000 (the level where it becomes a benefit in kind unless you pay interest) if I were you. Some accountants will assign rounding differences or expenses that you shouldn't have claimed to the DLA so that can unexpectedly take it over £5000.

[d000hg]

could do with getting a few grand more into my personal account

I was wondering if maybe it was a standard CC facility I'd missed but it sounds this isn't the case.

[Ketchup]

A bit cheeky but is there any real reason I can't just do an electronic transfer today and then do the loan & dividend paperwork once I'm back in 10 days to catch up?

Would you be happy explaining it to hector if he came knocking?

I would just use the directors loan account, it is pretty simple to do and perfectly legal.

[Lumiere]

Yes. But how do I get money off them into my current account without it being seen as a cash withdrawal? You can't treat your CC as a bank account, or can you?

Well, you didn't say you needed cash, just money. Apart from that there are credit cards that allow you to get cash for free if you pay balance in full by due date.

[d000hg]

A bit cheeky but is there any real reason I can't just do an electronic transfer today and then do the loan & dividend paperwork once I'm back in 10 days to catch up?

[Ketchup]

My spreadsheet has a column for directors loan so I just filled in what I took out here and then paid it back in later. Didn't span a year though but DL's can. They can be repaid anytime within 9 months after that accounting period.

Hope this was right though, it's not been past the accountant yet lol.

I've also used a DL to get me through my last month as had a few unforeseen expenses this month.

[northernladuk]

Probably it would work though I never did this... is the paperwork messy or is it no more involved than a dividend voucher?

My spreadsheet has a column for directors loan so I just filled in what I took out here and then paid it back in later. Didn't span a year though but DL's can. They can be repaid anytime within 9 months after that accounting period.

Hope this was right though, it's not been past the accountant yet lol.

[d000hg]

Could you not use a directors loan option or do you need more than £5k?

Probably it would work though I never did this... is the paperwork messy or is it no more involved than a dividend voucher?

Don't you have credit cards ?

Yes. But how do I get money off them into my current account without it being seen as a cash withdrawal? You can't treat your CC as a bank account, or can you?

[Jessica@WhiteFieldTax]

Echoing Craig's advice really; no, you can't declare it now and count it in next year, but a short term loan cleared by a divi in a few days works, so long as the entries in your cash book or ledgers tie up.

[Lumiere]

Don't you have credit cards ?

[northernladuk]

Could you not use a directors loan option or do you need more than £5k?

[Craig@Clarity]

Two related but different questions...

Is it possible to declare a dividend for my company on 1st April (company year runs April-March) but actually withdraw the money today/tomorrow?

Provided there is sufficient retained profit yes.

Is it possible to receive personal income in the next couple of days but defer it to count towards the tax year starting 6th April?

If it's by declaring a dividend today, then no. You'd have to declare the dividend after 5 April for it to count in the next tax year. You could loan yourself the money and then declare a dividend in the new tax year to pay back the loan.

Basically I have maximised my personal income for 2012/13 but could do with getting a few grand more into my personal account this week as I am away all next week on holiday. As well as not wanting to pay higher rate tax, it is better having it on the books as 2013/14 so I don't have annual accounts that fluctuate too much (tricky with mortgages).

Do you actually need to cash for next week? You could set up the payment to arrive with you next Saturday 6 April with your bank if you have limited internet access. That way you could support the fact you declared and paid the dividend next Saturday?

[d000hg]

Two related but different questions...

Is it possible to declare a dividend for my company on 1st April (company year runs April-March) but actually withdraw the money today/tomorrow?

Is it possible to receive personal income in the next couple of days but defer it to count towards the tax year starting 6th April?

Basically I have maximised my personal income for 2012/13 but could do with getting a few grand more into my personal account this week as I am away all next week on holiday. As well as not wanting to pay higher rate tax, it is better having it on the books as 2013/14 so I don't have annual accounts that fluctuate too much (tricky with mortgages).

For the sake of a few days, is there an easy answer or a cast-iron rule and I just need to accept that?