TwoStroke
New member
"This actually affects all companies or groups with profits up to £50,000 in any year, whatever their turnover or number of employees.
Dividends paid on or after 1 April to individual shareholders will result in the paying company losing the benefit of the reduced level, or exemption from corporation tax on those profits, such that the company will pay a minimum 19% tax.
There is no suggestion that there will be any changes to the tax treatment of the dividend in the hands of the individual, and there are no guidelines yet to identify which accounting period's profits are examined as the source of the dividend, and so taxed in this way."
Link is <A target="_blank" HREF=http://news.bbc.co.uk/1/hi/scotland/3520946.stm>here</A>
My accountant has just called to say that it looks as if the goverment is back dating the dividend tax - so if you have built up a capital reserve and plan to pull a dividend greater than the years' remaining profit, do it now as after the 1 April you will pay the tax on the full amount you pull.
They are looking at reviewing it in a years time...
Thankfully have always pulled the money out. Please check with your accountant.
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Dividends paid on or after 1 April to individual shareholders will result in the paying company losing the benefit of the reduced level, or exemption from corporation tax on those profits, such that the company will pay a minimum 19% tax.
There is no suggestion that there will be any changes to the tax treatment of the dividend in the hands of the individual, and there are no guidelines yet to identify which accounting period's profits are examined as the source of the dividend, and so taxed in this way."
Link is <A target="_blank" HREF=http://news.bbc.co.uk/1/hi/scotland/3520946.stm>here</A>
My accountant has just called to say that it looks as if the goverment is back dating the dividend tax - so if you have built up a capital reserve and plan to pull a dividend greater than the years' remaining profit, do it now as after the 1 April you will pay the tax on the full amount you pull.
They are looking at reviewing it in a years time...
Thankfully have always pulled the money out. Please check with your accountant.
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