Self Assessment Q&A on 18th January
» 2016/7 SA Tax submission - separation of SA as employee and Co. Director
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Hello, grateful for advice.
i) I set up a Ltd Co. to trade as a consultant for last 6 weeks of 16/17 TY. Therefore, by law I must submit a SA for income / dividends received. (?)
ii) My agent notified HMRC earnings for 16/17 via P60 and I issued myself a dividend before end 16/17 of less than £5000.
iii) In Oct 16 I took redundancy under full PAYE declaration. Employer taxed as if I was working until end of 16/17 TY. I had a gap in employment and I received an automatic tax refund. The refund detailed the P60 income declared by my agent.
As I understand:
iv) The dividend is below the permitted threshold so does not change my personal SA tax liability for 16/17.
v) My agent will submit Co. accounts on my behalf in a new TY which will include expenses, NI and corporation tax. These do not need to be included in personal SA as they are assessed in the longer timeframe.
vi) If I re-enter all 16/17 data & yearly dividend income it will confuse/distort payment status – it seems nugatory effort. Can I advise HMRC of the dividend income separately and provide with dividend payment evidence and not do a SA submission? – I am conscious of breaking the law!
vii) I have tried entering data on-line and I seem to be forced to enter P11D data, which my agent has not given me (if relevant?), so I am stuck as you cannot enter “£0.00” values so my declaration would be false.
Please advise best way forward – if vi) is OK how to do it formally?