Contractor - Earnings to Business Bank account

[badalv]

am a contractor and work under my own Limited Company Structure. I take salary and dividend to show for my earning.

My visa is up for renewal in Feb 2014 and I plan to apply in January 2014. I would like to claim earning from 1st Dec 2012 to 30th Nov 2013 for my visa.

In the year of 2012, the limited company had sufficient funds and I hardly took any dividends. In Dec 2012 (start of my visa earning period), I took a dividend of £10,000 and gave my wife £666.67 (40% partner in the company). Similarly, I took dividends in Feb (£10k), Apr (£15k) and June (£10k). However, during this period my limited company did not make this earning. It was from previous profits that I took the dividends. The company however had steady source of income from my ongoing contract.

So, my question is - Should my company have earned the money during the visa period for me to take those amounts as dividends? i.e. in December should the company have had an inflow of £16666.67 for me to take that amount as dividend for my wife and I? My question is purely for visa purpose only. From a tax perspective, I am fine.

Please do let me know.

[bubin123]

This is absolutely fine...

[samkol18]

am a contractor and work under my own Limited Company Structure. I take salary and dividend to show for my earning.

My visa is up for renewal in Feb 2014 and I plan to apply in January 2014. I would like to claim earning from 1st Dec 2012 to 30th Nov 2013 for my visa.

In the year of 2012, the limited company had sufficient funds and I hardly took any dividends. In Dec 2012 (start of my visa earning period), I took a dividend of £10,000 and gave my wife £666.67 (40% partner in the company). Similarly, I took dividends in Feb (£10k), Apr (£15k) and June (£10k). However, during this period my limited company did not make this earning. It was from previous profits that I took the dividends. The company however had steady source of income from my ongoing contract.

So, my question is - Should my company have earned the money during the visa period for me to take those amounts as dividends? i.e. in December should the company have had an inflow of £16666.67 for me to take that amount as dividend for my wife and I? My question is purely for visa purpose only. From a tax perspective, I am fine.

Please do let me know.

you can take dividends whenever you want during the claim period. Home office will tally the amounts you have taken as dividends/salary and the Sales amounts shown in the Sales Summary. Obviously the Total Dividends should be lesser than the profit.

[snowball001]

am a contractor and work under my own Limited Company Structure. I take salary and dividend to show for my earning.

My visa is up for renewal in Feb 2014 and I plan to apply in January 2014. I would like to claim earning from 1st Dec 2012 to 30th Nov 2013 for my visa.

In the year of 2012, the limited company had sufficient funds and I hardly took any dividends. In Dec 2012 (start of my visa earning period), I took a dividend of £10,000 and gave my wife £666.67 (40% partner in the company). Similarly, I took dividends in Feb (£10k), Apr (£15k) and June (£10k). However, during this period my limited company did not make this earning. It was from previous profits that I took the dividends. The company however had steady source of income from my ongoing contract.

So, my question is - Should my company have earned the money during the visa period for me to take those amounts as dividends? i.e. in December should the company have had an inflow of £16666.67 for me to take that amount as dividend for my wife and I? My question is purely for visa purpose only. From a tax perspective, I am fine.

Please do let me know.

you can take dividends whenever you want during the claim period. Home office will tally the amounts you have taken as dividends/salary and the Sales amounts shown in the Sales Summary. Obviously the Total Dividends should be lesser than the profit.

I have similar questions. Dividends can be taken at any time, and can be taken from earnings in previous years, but for visa purposes, the dividends taken should be less than net profit during the 12-month period? Otherwise when they look at the company accounts which shows net profit, there will be a problem.

Do we need to make sure of this and so the total previous earning - salary + dividend taken(net dividend which is no more than net profit) + dividend credit - can be accepted to score points?