For Directors of Limited Companies, it has generally been more tax efficient to take a small salary and then the balance of their drawings as a dividend. Following changes in the dividend allowance in 2018, it is not necessarily the way forward.
This will all depend on your individual circumstances and there are number of ways that dividend tax can be reduced such a pension contributions and transferring shares to your spouse.
Portheras Accounting can review your remuneration package to ensure that it is still tax efficient.
Useful Information & Top Tips
With so many things to remember and consider for your business accounting, it’s easy to forget things and fall behind with modern best practises. Want some useful top tips? Look no further…