You are using an outdated browser. Upgrade your browser today for Husband And Wife Company Directors better experience of this site and many others. At Grill Works Company Bbq Roberts we help many different business structures and individuals with their tax and accounting needs. One segment we help are husband and wife businesses. On the face of it, all transfers between husbands and wives could potentially be settlements.

However, there is a statutory exemption where property passed to a spouse is an outright gift, unless. The legislation is not new, but was originally enacted in the s and brought Husband And Wife Company Directors to date in the s. Do you run a husband and wife business and want to make sure that you are set up correctly? Accessibility links Skip to content Accessibility Help. News Blog Archive. However, there is a statutory exemption where property passed to a spouse is an outright gift, unless the gift does not carry the right to the whole of the income arising i.

Legal testing It is helpful to consider the basic situations which may involve income shifting: Main earner drawing a low non-commercial salary leading to enhanced profits from which dividends can be paid to spouse shareholder.

Differing classes of shares enabling dividends to be paid only to spouse paying lower rates of tax. Dividends being waived so that higher dividends Value Added To The Company be paid to spouse paying lower rates of tax. Dividends paid on shares that carry only restricted rights.

Income shifting is less likely to be in point: If the shares have considerable capital value If the main earner draws a commercial salary before dividends are declared If income shifting is proven: The income of the lower taxpayer is taxed as income of the donor of the gift the settlor.

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Husband and wife company directors - Stephens Scown

Husband and wife company directors – how can a divorce impact? Home > News > Family > Husband and wife company directors – how can a divorce impact? February 25, 2016. Author - Liz Allen. In many of our cases we encounter privately owned companies run jointly by a married couple as 50:50 shareholders and directors. Sometimes both couples ...…

Husband and Wife Companies vs the Taxman! - Mazuma

Home / News / Husband and Wife Companies vs the Taxman! ... This type of arrangement has been standard tax planning for many husband and wife companies since the introduction of independent taxation for spouses in 1990. It was even recommended on the Business Link website! ... You should both be appointed as directors of the company. This means ...…