With the new HMRC Business Records check coming up real soon I am reminded that I haven’t done any Meeting Minutes and Dividend vouchers for several years now (naughty boy I know, and a bit embarrassing).
The bit I don’t understand is, say I withdraw £3000.00 (as Dividend in my mind) and spent it all. When it come to the tax on this, is the tax part of the £3k i.e. I now need to make provision for this tax from my ‘personal’ money or is it on top ? i.e. still owed from the business account ?.
The dividends are taken several times a year and irregulay amounts.
So, I need to work out how to fill these figures on the Dividend Vouchers, I was thinking of a spreadsheet that will allow me to put in the Dividend amount drawn and have it work out the tax credits and net figure.
My earning (Salary plus Divvies have been in the range of £65k) – how do I account for the extra tax ?. is it from personal monies or is it the business that pays it ?.
I think I understand that the 1st 10% of divvie tax is covered in the Corporation tax, right ?, So, I don’t need to pay it separately. Its only the tax above and beyond this 10% that I need to pay – when is that due ? I have been making payments on account – I presume the extra tax due is in that right ?.
I must understand this, so please be gentle – layman’s terms as much as possible.
Thank you very much for any help you can provide.
(1 Man ltd company).