Tier 1 general extension refused no dividend vouchers

[BYC]

Hi all,

thanks for all your efforts and hard work in this forum
I received a refusal on my tier 1 G extension yesterday, stated that " you hv not provided sufficient evidence, we need your dividend vouchers bcos you hv claimed from a limited co, also we cannot corroborate sufficient earnings with your personal bank statements, we will need these as specified"

I didnt know its required cos my accountant didnt use it in 2011 when i first applied and it was approved. I claimed in the accountant letter that i own 100% of the company share.

what do i need to provide as evidence, i need to submit my appeal within 10 days. I have not used an solicitor

[T1ilr]

Speak to ur accountant and they should be able to provide dividend vouchers for the money you have taken as dividend. Then , in a covering letter corroborate this with your personal as well as ur company bank statement. Guidance clearly states this and you should have provided this is in the first instance. Good luck.

[BYC]

thanks T1ilr, can we take all dividends from that the payments made by clients to the business bank statements? I only made little transfers to my personal bank accounts?

God bless you

I welcome if anyone can help with points on grounds of appeal

[T1ilr]

There is a maximum ceiling , I think it is £17800 pare annum. Talk to your accountant . They should be able to help for the charge you pay them.

[BYC]

Thanks, I'm not aware of this maximum ceiling. I need over 50k to make the earning point required. Since I have not made dividend payments to my personal account, can I post date a dividend voucher?

[bubin123]

there is no such ceiling of dividends...
if you have not paid yourself dividend, how come you are claiming income from dividend?
Did your current visa expired?

[BYC]

Company only pay dividends to me at the end of its financial year, that was why I haven't been paid, Yes my visa has expired. Pls. I don't know what to do.

[bubin123]

what document you provided with your application?

[BYC]

I submitted
Profit n loss account
Accountant covering letter
Business bank statements
Personal bank statement for maintanance funds
Invoices n tabled invoice summary
Business certificate of incorporation
Uni certificate

[BYC]

Can someone respond to me pls, but the guidance only said 2 documents should be provided from different sources

[O_Relly]

A dividend is something that is declared from the net profits (after salary payouts, corporation tax, operational expenses etc) the company has made, and is something that is declared at the discretion of the director(s).

There is no upper cap to this amount and this can be paid out monthly / quarterly / half yearly or annually and not necessarily at the end of every year.

Now if you have paid yourself a dividend(transferred from your business bank account to your personal bank account), then you will have to submit a dividend voucher (generated by your accountant or yourself), signed by the director(s) (yourself, if you are a 100% shareholder)

And in your case, if you were claiming for earnings only by showing dividend payouts, then the two documents from different sources would be,
1. Dividend vouchers (showing Gross Dividend, Tax credit, and Net Dividend) [Source: Employer]
2. Personal Bank statements showing the credit of these dividend payouts. [Source: Bank]

Business bank account statements would help show dividend payout to your personal bank account.

Unfortunately, in your case you haven't transferred / submitted the dividend vouchers. I doubt there is a provision for submitting post dated dividend vouchers, because clearly it is earnings claimed within the 12 consecutive month period of your 15 month window.

[BYC]

Thanks Relly for taking time time to shed light on this matter, but the guidance did state that business or company structure can choose to retain net profits in their bank accounts, and applicant can provide at least 2 documents.

[O_Relly]

Yes, but my inference was, that was for self-employed applicants only. The policy guidelines on pg17 states,

94. If an applicant is self-employed and
has chosen to retain the profits within the
business, his/her earnings are limited to the
share of the business’s net profits to which
he/she is entitled. The appropriate proportion
of the net profit of the business (that is, after
tax and outgoings) can therefore be counted
as the gross salary of the applicant. We
will only consider profits made during the
appropriate 12-month earnings period for
which the applicant is claiming.

However it doesn't explicitly state, that the same can (or cannot) be done for limited companies with directors of 100% shareholding.

[BYC]

Thanks for this, its really helpful