Dividend 10% Tax Credit

Example.

A limited company is going to pay a 10,000 Dividend to its one and only shareholder. The dividend meets all the legal requirements etc.

The dividend would attract a 10% tax credit being £1,111.11.

I have the following questions

 

1. Is the 10% tax credit actually paid over to HMRC, or is it only used as a notional figure to reflect the fact the dividend has been paid out of post tax profits?

2. Is the full dividend of £10,000 paid over to the shareholder?

3. In the companies accounts the £10,000 would be the figure recorded as the dividend payment?

Many thanks for your help

Comments
There are 3 comments. Login or register to view them.

Ok:

Old Greying Accountant |
Old Greying Accountant's picture

and the acounting for the div

kiwilondon99 |

Nothing ...

Old Greying Accountant |
Old Greying Accountant's picture