9.8. Director or employee of a specified limited company in the
UK – specified evidence
9.8.1. The evidence required to demonstrate income as either a director or employee (or both) of
a specified limited company in the UK is specified in Appendix
FM-SE:
9. In respect of income from employment and/or shares in a limited company
based in the UK of a type specified in paragraph 9(a), the requirements of
paragraph 9(b)-(e) shall apply in place of the requirements of paragraphs 2 and
10(b)3
:
(a) The specified type of limited company is one in which:
(i) the person is a either a director or employee of the company, or both, or of
another company within the same group; and
(ii) shares are held (directly or indirectly) by the person, their partner or the
following family members of the person or their partner: parent, grandparent, child,
stepchild, grandchild, brother, sister, uncle, aunt, nephew, niece or first cousin; and
(iii) any remaining shares are held (directly or indirectly) by fewer than five other
persons.
(b) All of the following must be provided:
(i) Company Tax Return CT600 (a copy or print-out) for the last full financial year
and evidence this has been filed with HMRC, such as electronic or written
acknowledgment from HMRC
(ii) Evidence of registration with the Registrar of Companies at Companies House.
(iii) If the company is required to produce annual audited accounts, such accounts for
the last full financial year.
(iv) If company is not required to produce annual audited accounts, unaudited accounts
for the last full financial year and an accountant’s certificate of confirmation, from an
accountant who is a member of a UK Recognised Supervisory Body (as defined in the
Companies Act 2006) or who is a member of the Institute of Financial Accountants;
(v) Corporate/business bank statements covering the same 12-month period as
Company Tax Return CT600.
(vi) A current Appointment Report from Companies House.
(vii) One of the following documents must also be provided:
(1) A certificate of VAT registration and the VAT return for the last full financial year (a
copy or a print-out) confirming the VAT registration number, if turnover is in excess of
£79,000 or was in excess of the threshold which applied during the last full financial
year.
(2) Proof of ownership or lease of business premises.
(3) Original proof of registration with HMRC as an employer for the purposes of PAYE
and National Insurance, proof of PAYE reference number and Accounts Office
reference number. This evidence may be in the form of a certified copy of the
documentation issued by HMRC.
(c) Where the person is listed as either a director or employee of the company (or both)
and receives a salary from the company, all of the following documents must also be
provided:
(i) Payslips and P60 (if issued) covering the same period as the Company Tax Return
CT600.
(ii) Personal bank statements covering the same 12-month period as the Company Tax
Return CT600 showing that the salary as either a director or employee of the company
(or both) was paid into an account in the name of the person or in the name of the
person and their partner jointly.
(d)Where the person receives dividends from the company, all of the following
documents must also be provided:
(i) Dividend vouchers for all dividends declared in favour of the person during or in
respect of the period covered by the Company Tax Return CT600 showing the
company’s and the person’s details with the person’s net dividend amount and tax
credit.
(ii) Personal bank statement(s) showing that those dividends were paid into an
account in the name of the person or in the name of the person and their partner jointly.
(e) Evidence of ongoing employment as a director or other employee of the company or
of ongoing dividend income from the company. This evidence may include payslips (or
dividend vouchers) and personal bank statements showing that, in the period since the
latest 12-month period covered by the Company Tax Return CT600, the person’s salary
(or dividend income from the company) as a director or employee of the company (or
both), was paid into an account in the name of the person or in the name of the person
and their partner jointly. Alternative evidence may include evidence of ongoing payment
of business rates, business-related insurance premiums or employer National Insurance
contributions in relation to the company.
