Description
It has been suggested a dividend without the correct supporting minutes etc will not only be in breach of the Companies Acts but also unacceptable to the HM Revenue and therefore it is essential dividend paperwork is correctly dealt with. This position may be even more relevant following the taxpayers success in the Artic Systems case with HM Revenue considering alternative ways in which to challenge dividend payments. The guide sets out in detail Companies Act requirements to be followed, including the impact of Companies Act 2006. It also considers the implications of illegal dividends [including recent case law], alternative methods of payment, eg cheque, loan account, the distinction between interim and final dividends, plus includes example minutes, dividend waiver forms and mandates for both cash and in specie dividends. It also considers situations where HM Revenue may contend dividends should be taxed as remuneration and subject to PAYE tax and National Insurance contributions.
DTE Payroll & Tax Centre Ltd
The Accountants Guides are now available in either an emailed PDF format or hard copy, updated for the Finance Act 2008 provisions and all other issues arising to the end of September 2008. Whilst technical in nature, each guide has been written in an easy to understand manner aimed at the busy independent practitioner wishing to benefit from practical assistance in dealing with client matters rather than a theoretical analysis of issues rarely met in real life.
