Dividends
Laura8192
Registered Posts: 95 Epic contributor 🐘
If a Limited Company client has a year end of 31st May for example, can they put any money they transfer to themselves to the directors loan account throughout the year, and then just declare a dividend on 31st May for the total they have had? Providing there is enough profits in the business at 31st May of course....
I think that this would be ok, just need another sense check!
Thanks
Laura
I think that this would be ok, just need another sense check!
Thanks
Laura
0
Comments
-
Hi Laura,
If they use the director's loan account and it exceeds £5000 during the tax year won't they have to declare it as a beneficial loan and pay extra tax on it?0 -
thank you for raising this, I hadn't thought of that. I will do some more research.0
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