Happy New Year - think it's my first post of teh year - now what have I been up too.... ah yes pulling my hair out at clients who say - "yep will get onto my tax info week after next if that's OK....?"
Anyway - really easy question for those who know the answer.
I have recently taken on a small company client where the directors are Husband and Wife, each have been working in the business for 5 years or so and take small salary big dividend. I am in the process of doing their 2012 tax returns.
In Feb-12 Wife had a baby but previous advisor didn't claim any SMP on the grounds that "the company has not paid any NI in the past therefore you can't claim SMP" (that's what previous advisors email to my client stated back in December 2011 when they asked him about it)
I must confess I have never had one of my sole or husband and wife director companies have a baby (well the wife that is not the company!) and so hadn't thought about it.
I have looked at the guidance and read threads on here and it seems that he may have been wrong however some HMRC guidance seems to back up what he has said
If they could have claimed can they claim now? For this and last tax year? (Wife has been receiving £624/month every month this year but I guess that could be reclassified as SMP plus a top up? - If they can claim it is quite a big number and potentially they have missed out.
Any help from those better versed in SMP that I would be very very welcome!
Not a January SA deadline question I know so apologies for diverting away from the main theme of the month!
- Not renewing AAT 593 8
- Self-assessment statistics 2,390 56
- Accountant won't release working papers 2,684 51
- New dividend taxation 298 2
- Co purchase printed materials from EU - VAT 89 1
- Company car v company allowance 200 1
- Furnished Lettings - expenses normally bourne by tenant 422 9
- Company formation and bank account 348 9
- Next Move 624 18
- Owning overseas property 293 2
- MLR and benefitting from the disclosure 278 1
- Company Car for Owner Director number crunching - is there a ready reckoner? 206 3
- How did you recalculate your payroll fees 678 8
- Client tied in to accountant. Unfair contract? 625 9
- Importing Sage Data and Year End 233 2
- Legal structure of a group of friends producing a free newspaper 407 8
- OneNote is fantastic 559 11
- VAT Direct Debit 380 7
- S445 tax V's new dividend tax 469 8
- Self Assessment Software 701 21
- Self employed and HMRC Worldwide Subsistence Rates 663
- Acrobat Checkbox Help for New 64-8 405
- Property letting & CAs 395
- Interest paid - do new rules affect Tax Credits? 390
- 2015 tax year end 388
- FCA regulated company in a small group 344
- Self employed consultant working in Ireland 305
- Market Invoice (P2P invoice discounting) tax treatment 237
- DTA tie-breaker issue 206
- Tax on internet ad sharing income 203