The legislation to introduce the new system of dividend taxation announced in the Summer Budget has now been included in the draft Finance Bill.
Although individuals will be able to receive £5,000 of dividend income tax free each year from 2016/17, once that has been used up there will be a 7.5% increase in the rate of tax on dividends, so you may wish to consider increasing your dividend payments before 6 April 2016.
For further advice on increasing your dividend payments before 6 April 2016 call Nathan on 01733 372684 or email him at: nathan@greenstones.co.uk