Dividend Voucher bank transactions

[aveen]

Hello
If a final dividend is declared @ £20,000 per share, board minutes are issued accordingly, but the amount is electronically transferred @£10,000 per day to the shareholder's account (due to bank maximum payment restrictions per day) over a period of two successive days, would this call for two dividend vouchers @£10,000 each or a single dividend voucher per the dividend amount.

If two dividend vouchers are needed, would one become interim and the other final? In such case, could the interim and the final dividends be taken on successive days?

If a single voucher suffices, how should the transactions be tied to the dividend voucher.

Any references or guidance in support of the above is appreciated.

Could someone clarify what exactly this paragraph implies for the above situation?

What the dividend vouchers must show

Dividend vouchers must show the amount of money paid by the company to you, normally from its profits. They should confirm both the gross and net dividend paid. You should provide a separate dividend voucher or payment advice slip for each dividend payment, to cover the whole period claimed.

[Greg@CapitalCity]

Is this for a Tier 1 Visa application?

If so, I would suggest preparing your documents to show two dividend payments took place - it will be easier for the Home Office to understand that. However if your paperwork has already been done to show a final dividend payment of £20k, then I would suggest you add a short explanation to your Visa application as to why two £10k payments took place.

For a £20k dividend payment;
(a) Your net dividend payment is £20k
(b) Your gross dividend payment is £20k x 10/9

Hope that helps!

[aveen]

Hello
Thanks for the reply. If preparing documents to show two dividends, would one be interim and the other final declared on two different dates I suppose.
Would this create any confusion from HMRC point of view, Two adjacent day payments of one interim and one final.?

My application to immigration is not due until mid next year. So next time I will make sure that I will draw the entire amount once by cheque.

I called up immigration and they seem to tie bank transactions with dividend vouchers not declared dividends with vouchers which makes it confusing. But HMRC has no problem in associating multiple transactions with a single dividend it seems. Is this correct.

Thanks
Aveen.