Steven Holmes is a tax consultant based in the Leeds office of award-winning top-30 UK firm of accountants, Armstrong Watson. Armstrong Watson is endorsed by the Law Society for the provision of accountancy services to law firms in the north of England
Last year George Osborne delivered the first budget of the new, Conservative, majority parliament and with this a huge change in how dividends are taxed. The move was quite unexpected and will have serious implications, for large amounts of owner managed businesses.
From April 2016, the notional 10% tax credit on dividends will end, making way for a new £5,000 tax-free dividend allowance. Steven Holmes and Sharon Ryan explain the tax implications of the changes – and what you can do to mitigate the costs.