Reg: How to pay tax on dividends

[dev106]

Hello Friends,

I’m working as engineer thru my own limited company. I have setup a salary of £10,000 pounds fro the next 12 months, and planning to take dividends every quarterly.

My query is as an employee of my own company when I’m drawing a fixed salary every month and for that fixed salary I pay income tax & NI (taxable earnings as per HO).

Coming to dividends, obviously I’m going to pay tax for the dividends after the 18months of the company formation (as per the companies house rules), but before it I’m planning to apply my Tier-1 general visa. So if I don’t pay the extra tax on the dividends I take quarterly, then how come Home Office believes that the money I took as dividends are my genuine earnings?

I’m really confused. Please, give me you valuable suggestions.

Thanks a lot.

Regards,

Newbie

[mubu]

Very nice question, I am interested to know the answer as well, waiting for the seniors to respond

[HSK Accountancy Services]

[quote="dev106"]Hello Friends,

I’m working as engineer thru my own limited company. I have setup a salary of £10,000 pounds fro the next 12 months, and planning to take dividends every quarterly.

My query is as an employee of my own company when I’m drawing a fixed salary every month and for that fixed salary I pay income tax & NI (taxable earnings as per HO).

Coming to dividends, obviously I’m going to pay tax for the dividends after the 18months of the company formation (as per the companies house rules), but before it I’m planning to apply my Tier-1 general visa. So if I don’t pay the extra tax on the dividends I take quarterly, then how come Home Office believes that the money I took as dividends are my genuine earnings?

I’m really confused. Please, give me you valuable suggestions.

Thanks a lot.

Regards,

Newbie ï