March 2021
Tyrone Courtman
Weekly tax brief
Paying dividends – as simple as 1,2,3…or is it?
For years it’s been common practice for directors of owner-manged businesses to reward themselves through dividend payments rather than through the payroll, largely because of the more attractive taxation treatment. Dividend payments pre-suppose the company has sufficient distributable reserves to do so, but the impact of coronavirus means some may struggle to make these payments.
4 minutes