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Sam, Accountant
Category: Tax
Satisfied Customers: 14164
Experience:  26 HMRC expertise, PAYE, Self Assessment ,Residency, Rental Income, Capital Gains, CIS ask for Sam Tax
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Personal filing question due to being company director. ,

Customer Question

Personal filing question due to being company director.
Hi, my company in Year 1 had no income and 2K of expenses. I filed to HMRC 2K of expenses and 12K of Director's salary (mine). But have not actually received any money so on paper the company still owes me 12K. I hope at some stage the company will make some money and then be able to get the 12K (and the seed money of 2K) back.
I have no other income but my husband manages our day-to-day needs.
How should I file for personal tax filing?
How should I register me/the company for PAYE?
Submitted: 2 years ago.
Category: Tax
Expert:  Sam replied 2 years ago.
Thanks for your question
As you have noted that you took £12K on per, then you are liable to tax and National Insurance (under PAYE) for this salary as I assume you showed this as part of the expenses incurred from the company, so the paper trail has to balance throughout.
You should have set yourself up as an employer at the year beginning that this salary relates to - so should now do this in retrospect - link here for you to register as an employer (the limited company) then you complete from P45 (if you have one from a previous employment) or complete P46 as an employee (director) of this limited company.
HMRC will send you the link to set up Real Time Information PAYE (free online service) or you can buy HMRC approved software to run PAYE and this advises the forms you complete as an employee and how to send them in.
Expert:  Sam replied 2 years ago.
I also meant to advise that you may not need to do anything more regarding your own tax affairs as this is your only income so you do not need to register as self assessment as a director