UK Tax Questions? Ask a UK Tax Advisor for answers ASAP
I am on the limit of being a 40% taxpayer.I have recently put them as a joint account with my wife.
My wife is on the limit too.
Thanks.Can you tell me what the inherent gain is please.
I have my own business and we take dividends as well up to 40K a year.
Will this affect your last reply?
I will not ask anymore.
And send you positive feedback and the money.
Ask as many questions as you like.You clearly have a limited company as you take dividends. Take a look here for information on how dividends are taxed.In the current tax year, assuming you have no salary, you could take up to £37,305 in dividends, profits allowing, and pay no personal tax. The £37,305 grosses up to £41,450 which is the sum of the personal allowance of £9,440 and the 20% tax band of £32,010. Dividends are treated as basic rate tax paid.If you can reduce your income to around £14,500 gross in 2013/14, after deduction of the personal allowance of £9,440, you will have about £26,950 of the 20% tax band left which would mean your taxable gains of £26,600 would be taxed at 18% instead of 28%.