Dividend Income – SA 2013/14 – F9 Consulting

Quite often company directors set up a capital structure with family members as shareholders. This is fine as long as the correct processes and procedures are followed at the tax year end.

Anyone in receipt of dividend income is required to submit a Self Assessment Tax Return by the deadline of 31st Ocotber if filling on paper, or at the very latest 31st January if filing online.

If this is not done, you will be liable to penalties and fines, and in the most severe of cases, where the act is seen as deliberate, which can be the case where the tax payer has a finance background or accounting qualifications, maybe even a criminal record.

In order to file you will need the correct supportive documentation to show interim dividends declared and final dividends agreed as per the companies minuted general meetings. Dividend vouchers must be supplied to all shareholders detailing the tax credits available and the date the dividend falls due.

Many accountants do not provide these vital documents which can cause issue for tax payers when declaring monies received.

HMRC are not obliged to notify you to file a tax return, it is the tax payers responsibility to report any untaxed income, of which dividends is certainly one source.

To avoid penalties and fines make sure you prepare and file your tax return before the January 31st deadline. If you would like us to review your situation, please contact us as soon as possible.

Request a call-back

We love to hear from new clients, if you would like us to call you back, pop in your details, one of our qualified professionals will be in touch.

    Have your say, leave a comment…

    Your email address will not be published. Required fields are marked *

    City of London

    Second Floor,
    10 Trinity Square,
    London EC3N 4AJ
    Phone: 0207 100 1080

    Canary Wharf

    29th & 37th Floors
    One Canada Square,
    Canary Wharf, London E14 5AA
    Phone: 0207 099 1080


    First Floor
    81-85 High Street,
    Brentwood, Essex CM14 4RR
    Phone: 01277 223 278


    Chancery Place
    50 Brown St
    Manchester M2 2JT
    Phone: 0161 820 1080

    Opening Times

    Monday – Saturday
    8:00 AM – 6:00 PM