free small business advice & information
Main Menu
Hot Links
Page 5 of 31
Budget 2004
Personal Taxation
Taxation of Dividends
On the gross amount* at the rate of
- 10% for starting and basic rate taxpayers - liability covered by tax credit
- 32.5 % for higher rate taxpayers - equivalent to effective rate of 25% of dividend received
- 32.5 % (25% 2003/2004) for discretionary and accumulation and maintenance trusts - equivalent to effective rate of 25% (16.66 % 2003/2004) of dividend received
Shareholders are not entitled to repayment of tax credits
Repayments for ISAs, PEPs and charities on a restricted basis prior to 6 April 2004
* Dividend received plus tax credit
The figures shown here are subject to ammendment as the Finance Bill passes through Parliament.
This information has been prepared only as a topical guide to tax and personal financial matters. No responsibility can be accepted by us for loss occasioned to any person acting or refraining from acting as a result of any material contained in this publication.
Monthly Prize Draw!
Win £375 worth of advertising for your business.
Enter our competition by either:
- Signing up to the is4profit Small Business Newsletter or
- Entering your firm's details into the Small Business Directory