Small Business Accounting

What is Dividend tax?

By

Chris Andreou

What is Dividend tax? guide

Contents

A dividend is money that's paid out by limited liability companies to investors, usually on a quarterly or annual basis. These payouts are based on the quarterly profits of your company as well as the amount of stock you own.

Dividend tax therefore refers to the rates by which those dividends are taxed according to HMRC. Each year, these tax rates may differ.

<p>A dividend is money that's paid out by limited liability companies to investors, usually on a quarterly or annual basis. These payouts are based on the quarterly profits of your company as well as the amount of stock you own.<br></p><p><a href="https://www.goforma.com/tax/taxes-on-dividends-allowances" target="_blank">Dividend tax</a> therefore refers to the rates by which those dividends are taxed according to HMRC. Each year, these tax rates may differ.</p>

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