Family Business Income Query

zagfles

real1314 wrote: »

That link is for Tax Credits, not tax payable.

It's not the right area. I'd suspect it would have no impact, but I'm not a tax expert.

The OP was asking about tax credits! (not tax payable).

zagfles

lucy_w86 wrote: »

But being a shareholder and secretary, is this classed as working for a company?

If he does work for the company, then yes. You said he has a "second job" which implies the business is a first job.

If he's just a shareholder and does no work, then the link I posted probably won't apply, BUT another definition of notional income might IF it's his decision not to take the dividend:

http://www.hmrc.gov.uk/manuals/tctmanual/TCTM04803.htm

lucy_w86

zagfles wrote: »

If he does work for the company, then yes. You said he has a "second job" which implies the business is a first job.

If he's just a shareholder and does no work, then the link I posted probably won't apply, BUT another definition of notional income might IF it's his decision not to take the dividend:

http://www.hmrc.gov.uk/manuals/tctmanual/TCTM04803.htm

Sorry. He is a shareholder and company secretary. His main job, mon to fri he gets a salary for etc..... The family business, he used to help out with but didn't get paid (helped do the accounts etc.) but he no longer does that. I am not sure what to put on the tax credits form?!

zagfles

lucy_w86 wrote: »

Sorry. He is a shareholder and company secretary. His main job, mon to fri he gets a salary for etc..... The family business, he used to help out with but didn't get paid (helped do the accounts etc.) but he no longer does that. I am not sure what to put on the tax credits form?!

Suggest you phone them and describe the exact circumstances.