I recently closed my ltd company, all corporation tax / vat etc was paid up to date. There was still some funds left over, so my wife (shareholder) and I declared us a dividend, and I did the self-assessment for us both. I paid quite a lot tax on my share, she did not actually need to (never worked, has no income and it was not a large amount) We agreed to pay both dividends into the mortgage to help reduce it.
We have split up - and she is is now demanding that I "go to the tax man and remove her dividend" so that she will not have a higher tax code...? She admits that this was not our original agreement, but she does not care about what stress it may cause me. Actually, what she is saying is that I never paid her the money but kept it for myself...
She is not a UK citizen, and is here on a spouse visa (if that makes any difference).
What can I do? I am happy to take over any liability, but is this even possible...?
many thanks in advance...