Dividend Income as a Director

[kenny156]

Hi

I would like some direction on this step am proposing to take.

Currently on a Tier1 General
Due to apply for ILR in December 2014
Got made redundant in July 2013 thereby, affecting income.
Have 2 another job but income is short by about £7,000
Now a director with a company run by my relative....Please note - am not actovely involved in running the company.
Plan to get dividend earning of £10,000 within the 12 consecutive months for earning.
can show Dividend slips, bank account entry, all business documentation, accountant letter; also i plan to declare the income in my tax return for by end of the 2013 tax year.

Can anyone advise if this plan is feasible? Please bear in mind, am not actively involved in company activities.

Thanks

[karg_g]

Hi

No. Dividend income will be considered only if you have controlling stake & involved in day to day operation of the limited company. Your plan also seem to indicate that you & your relative are about to commit fraud.

If I were you, I will try to find another employment part time/full time to make up the short-fall. Since your ILR is not until Dec2014, I still think you have some more time to find a better job.

Good luck