Applying for Tier 1 General Extension - some Confusion

[krish007]

Hello All,
I will be applying for my Tier 1 (General) Extension in the month of August.

I am an IT Contractor, and i have my own Limited company, through which i do the billing, and i pay myself 1000£ per month and i pay PAYE for that, and for every 2- 3 months i take Dividends.

So my concern is, i have started my company in the month of May 2012, and i am about to file my Tax returns by the end of this month. i have started taking my dividends from October last year (2012), So is there any connection ( any time line)between the amount you earn for your company and dividends you pay for yourself ?

I am trying to achieve £35k ( 12K as Wages and 25K as Dividend).

Thanks
Krish

[krish007]

Hello All,
I will be applying for my Tier 1 (General) Extension in the month of August.

I am an IT Contractor, and i have my own Limited company, through which i do the billing, and i pay myself 1000£ per month and i pay PAYE for that, and for every 2- 3 months i take Dividends.

So my concern is, i have started my company in the month of May 2012, and i am about to file my Tax returns by the end of this month. i have started taking my dividends from October last year (2012), So is there any connection ( any time line)between the amount you earn for your company and dividends you pay for yourself ?

I am trying to achieve £35k ( 12K as Wages and 25K as Dividend (2k Buffer)).

Thanks
Krish

HI..Looks no one understood my concern or no one had an experience around this !!!

[hussainkothari]

What is the question related to T1 ext?

[krish007]

What is the question related to T1 ext?

Hello Hussain,

Sub :T1 (G) Extension.

My Concern is about the Dividends you transfer to your personal accounts as dividends.

Is there any relation between the Money you earn and Money you transfer to your personal account ?

For example : I have made 40K during the May 2012-13 and i have taken dividend in the month of Jan 2013, which falls under my last 12 month income. as i will be applying for my visa in Aug 2013 ( hope i am clear now).
Thanks
Krish

[hussainkothari]

I used to be employed as a director in my own limited company. and used to draw dividends and salary. According to my accountant (which is the case) you can keep transferring dividends when ever you wish and the amount you wish. Just that you need to have dividend vouchers for the same date and amount.

So in short - no relation.

[krish007]

I used to be employed as a director in my own limited company. and used to draw dividends and salary. According to my accountant (which is the case) you can keep transferring dividends when ever you wish and the amount you wish. Just that you need to have dividend vouchers for the same date and amount.

So in short - no relation.

Thanks Hussain for clarifying...

Regards
Krish