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Sam
Sam, Accountant
Category: Tax
Satisfied Customers: 14004
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
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I HAVE A BIG PRoblem as I need to still be able to be within

Customer Question

I HAVE A BIG PRoblem as I need to still be able to be within my tax credit eligibility and It would seem that i have gone over the criteria I submitted a tax return in january under my utr ref number which covered the period before my limited comany which amounted to 7,902. Now under my ltd company my company shows profit of 22k which means added 2 figures together it will take me over the threshold of eligibility
Submitted: 1 year ago.
Category: Tax
Expert:  Sam replied 1 year ago.

Hi

Thanks for your question

Did you or the company take £22K - and if the company what element of that £22K did you take out - as tax credit office are interested on what you actually received in income as an individual (so salary or dividends for the limited company plus any other income)

Thanks

Sam

Customer: replied 1 year ago.
I took salary of 7980 and the rest dividends
Customer: replied 1 year ago.
i had dividends, my expenses are taken off but my concern is not being entitled any more
Customer: replied 1 year ago.
are you still there?
Expert:  Sam replied 1 year ago.

Hi

Thanks for your response

Then I am afraid there is nothing you can do as the payments have been made to you and the dividend payment will have been recorded in the company minutes as the payment you had made from the profits for the year.

I should also point out that the tax credit office will treat the dividend as 24,444 (as they retain the 10% tax credit) and the £22k is merely the net amount.

And therefore depending on your circumstances - you may have too much income to remain eligible but there is no changing that fact

Thanks

Sam