Does a £35k dividend clear a £35k overdrawn DLA
Firstly,many apologies for posting this question as i know similar if not the same question has been asked before. I have quickly searched any answers to find the answer but have drawn a blank.
DLA overdrawn by £35k at the year end. It is now 8 months since the year end. We now know that there was £32000 of undistributed profit at the year end. If i clear the £35k by £30000 final divi plus £5k interim divi now does that remove the need to pay S455 tax? He will have taken out probably £35k+ since the year end.
I know in the past, i have seen people argue that Loan 1 of £35k is cleared by the dividend and that the amount withdrawn since the year end is a separate loan. Do the Revenue accept that?
Alternatively, what about backdating a £32k dividend to a date say 14 days after the year end? I must admit that doesn't sit comfortably with me but does anybody adopt this approach. I guess the Revenue can never prove the date a minute was passed crediting the dividend to the DLA?
Any help greatly appreciated and once again apologies for posting a question that has almost without doubt been covered before.
- Project being run jointly 162 3
- Buying Microsoft's Surface Pro 3 290 4
- Companies House 573 9
- Dress code 324 12
- French Excise Duty - Help Please! 109 1
- not self employed since March 2011 now received a penalty for late tax return for year 2012-13 307 11
- Where to start to get any of jobs in Finance and Accounting Industry 713 9
- How much did you pay for your website 1,418 25
- What would you do in this situation? 585 13
- Help Required 368 10
- directors control and tax problems 229 5
- Fastest Software 785 13
- FILING COMPANY ACCOUNTS 955 28
- What's in a name ? 338 5
- Straightforward email correspondence or PDF letter attached to blank email? 268 4
- What quality paper do you use for correspondence? 452 15
- Bulk Invoicing 185 6
- Travel and Substinance expenses while abroad 167 3
- Self Employed Self Assessment: Capital Allowance and Car Lease/HP 254 2
- ATED Penalties 280 1
- CTA study material 709
- Anyone have clients that use Pay4Later to offer customers credit? 432
- Employment related securities question 272
- AIM Stocks and IHT 249
- Tax Relief for overseas employees 206
- Raiders of the Lost Tax File 195
- Trust for Employee 190
- Expat pension contributions? 189
- Recommendations for Ross Martin Tax consultancy 2014 186
- Quickbooks losing VAT return data 163