Dividend Vouchers

[Once]

Please can anyone advice me as to what a Dividend voucher looks like, are they pre-printed? Also how often can dividends be paid, can it be paid monthly.

Any advice would be greatly appreciated.

[MikeH]

I believe that dividends can be paid at whatever frequency the shareholders decide. Whilst it is normal for these to be paid quarterly, half yearly or annually I see no reason whjy you cannot distribute profits more frequently.

Dividend vouchers can take whatever appearance you prefer as long as they include all the basic info. The following should cover it so prepare your own-

Company Name & Number
Name and address of beneficiary
Full description of security
Number of shares
Action/Pay date
Rate of dividend per share
Total amount of dividend paid
Signed by

Hope that helps.
Mike.

[james constant FCCA]

Hi

dividends can be paid only out of profits and that means that you need to ensure that before declaring any (either midway through the year by directors or at an AGM) there should be enough profits. If the taxman checks and finds out that profits were inadequate, you will likely be taxed otherwise on the unlawful distribution as employment income.

Yes, there are certain details that need to be dislosed on a dividend voucher (plus Minutes). I will be glad to email you a template if you send me an email.

http://www.taxadviceuk.com
FREE Weekly Tax Tips for the small business owner, written in understandable language

[Once]

Thanks to you Mike and James,

Mike you mentioned about "Full description of security" in your list above, please can you explain what this means.

Thanks

[james constant FCCA]

Hi

that means description of the shares in question eg ordinary, preference and so on.


http://www.taxadviceuk.com
FREE Weekly Tax Tips for the small business owner, written in understandable language

[MikeH]

Thanks James that is exactly what I was referring to. Some companies have different classes of shares for different purposes.

Mike

[Once]

Many thanks for the advice both of you have given.

[awinaba]

Please can anyone advice me as to what a Dividend voucher looks like, are they pre-printed? Also how often can dividends be paid, can it be paid monthly.

Any advice would be greatly appreciated.tem

[Williams lester]

Dividends can be paid as often as you wish, subject to having the profit available to do it and having produced management accounts to prove it!

[David Griffiths]

Did you notice that this thread is FIVE years old, and the person who resurrected it asked exactly the same queston as the OP? :|

[elainec100@cheapaccounting]

I didn't know threads were on line for that long - blimey anything 5 years old is so out of date now