I am returning to practice after 10 years abroad.
I have just taken on a new client, who has not drawn proper dividends and has an overdrawn balance sheet at the end of the accounting period. How would I change this into salary i.e. do I need to change last years P35 or can I put the salary through on the P35 coming up and then enter this onto the set of accounts. Or would it be better to leave the balance sheet over drawn and just pay the 25% tax on the overdrawn balance sheet.