Pact Accountancy

There is a nominal total arrear of income tax; after deducting the tax at source, the two payments to the account are set to zero. This applies if it is:

• Income Tax (and NIC) Liability for the previous year – Deducted tax at source Dividend and a tax credit on dividend – Total less than £ 1,000 or
• More than 80% of the income tax (and NIC) for the previous year was deducted from the tax at source and settled on dividends’ tax credit.