Company Director Finances

[bobbyboat]

My fiance and I want to live together in the UK, so we need apply for a spouse / settlement visa for her. I have some questions that I'm hoping someone can help answer as the process is very confusing.

I am a UK national and the director of my own company. I clear the £18,600 threshold via dividend payments, declared salary and rental income on my property. My company accounts run 1st February to 31st January. I'm aware that I need to show personal bank statements for this 12 month period. But the rental income I earn is declared on my personal tax return, which is April 6th - April 5th. Do I only declare the rental income for the 12 months of my company accounts or do I have to show both? Obviously my rental income is not on my company accounts as it's personal.

My next issue is that I don't pay myself regularly. I just transfer lump sums from my business account to my personal accounts at random intervals. This is perfectly normal and legal. Nor do I have official payslips or dividend vouchers. But then I read that the following evidence is needed:

"Personal bank statements covering the same 12-month period as the Company Tax Return CT600 showing that the salary 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."

"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."

"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."

Does anyone knows how strict they are on this?

For the most recent company accounts it states £7,000 in dividends and a salary of £8,244. My rental income for my tax return due after April will show £9,500 in rental income. I checked my personal bank statements and I have the following deposits into two different accounts as follows:

£2,000
£5,000 (this plus the £2,000 can explain my dividends)
£4,000
£4,000
£10,000

I therefore have no exact match for my declared salary of £8,244. I have evidence of transferring more than my official salary, but it clearly doesn't match, although the £4,000 + £4,000 is close.

Obviously I don't want to spend money on an application, only for it to be rejected on a financial technicality. What should I do? We really don't want to wait a year before applying.

[wahi66]

My fiance and I want to live together in the UK, so we need apply for a spouse / settlement visa for her. I have some questions that I'm hoping someone can help answer as the process is very confusing.

where is your fiance living right now?? in UK or outside UK? are you talking about fiance visa for UK entry to get married or 2 years long relationship visa??

I am a UK national and the director of my own company. I clear the £18,600 threshold via dividend payments, declared salary and rental income on my property. My company accounts run 1st February to 31st January. I'm aware that I need to show personal bank statements for this 12 month period. But the rental income I earn is declared on my personal tax return, which is April 6th - April 5th. Do I only declare the rental income for the 12 months of my company accounts or do I have to show both? Obviously my rental income is not on my company accounts as it's personal.

My next issue is that I don't pay myself regularly. I just transfer lump sums from my business account to my personal accounts at random intervals. This is perfectly normal and legal. Nor do I have official payslips or dividend vouchers. But then I read that the following evidence is needed:

"Personal bank statements covering the same 12-month period as the Company Tax Return CT600 showing that the salary 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."

"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."

"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."

Does anyone knows how strict they are on this? very strict, if you have a qualified accountant who is looking after the company's accounts you shouldn't have this problem at all because this is basic practice for every accountant.
there are some other requirements as well like your accountant's letter and non audited report etc which can only be done by qualified accountant.


For the most recent company accounts it states £7,000 in dividends and a salary of £8,244. My rental income for my tax return due after April will show £9,500 in rental income. I checked my personal bank statements and I have the following deposits into two different accounts as follows:

£2,000
£5,000 (this plus the £2,000 can explain my dividends)
£4,000
£4,000
£10,000

I therefore have no exact match for my declared salary of £8,244. I have evidence of transferring more than my official salary, but it clearly doesn't match, although the £4,000 + £4,000 is close.

Obviously I don't want to spend money on an application, only for it to be rejected on a financial technicality. What should I do? We really don't want to wait a year before applying.

Better sort out your financial paper work by hiring a qualified accountant before going to HO.

[bobbyboat]

Thanks for replying.

where is your fiance living right now?? in UK or outside UK? are you talking about fiance visa for UK entry to get married or 2 years long relationship visa??

Thailand, as am I. We've been here 4 years, together for 6. She has had 3 visitor visas to UK in past 6 years. I'm not sure what a "2 years long relationship visa" is. Do you mean "unmarried partner"? I'm not sure we would qualify for that as my name is not on rental agreements or any bills. It requires same financial requirements anyway.

very strict, if you have a qualified accountant who is looking after the company's accounts you shouldn't have this problem at all because this is basic practice for every accountant.
there are some other requirements as well like your accountant's letter and non audited report etc which can only be done by qualified accountant.

I have a qualified accountant. Letter and non audited reports are not a problem. It's just my stated salary does not exactly match up. I will have to email him to see if the most recent accounts can be amended.

[wahi66]

Thanks for replying.

where is your fiance living right now?? in UK or outside UK? are you talking about fiance visa for UK entry to get married or 2 years long relationship visa??

Thailand, as am I. We've been here 4 years, together for 6. She has had 3 visitor visas to UK in past 6 years. I'm not sure what a "2 years long relationship visa" is. Do you mean "unmarried partner"? I'm not sure we would qualify for that as my name is not on rental agreements or any bills. It requires same financial requirements anyway.

why don't you get the fiance visit visa and get married in the UK and then apply her spouse visa. by doing this, you ll get time to sort out your payslip and bank statement.

very strict, if you have a qualified accountant who is looking after the company's accounts you shouldn't have this problem at all because this is basic practice for every accountant.
there are some other requirements as well like your accountant's letter and non audited report etc which can only be done by qualified accountant.

I have a qualified accountant. Letter and non audited reports are not a problem. It's just my stated salary does not exactly match up. I will have to email him to see if the most recent accounts can be amended.

Well ideally it should match the bank statement but since your are the only director then chances may be some discretion might be apply. however, if you are not desperate then i would say wait for one month to sort out your salary figures before apply. you can also ask your accountant to amend last two, three months payslip according to your bank statement.

[bobbyboat]

why don't you get the fiance visit visa and get married in the UK and then apply her spouse visa. by doing this, you ll get time to sort out your payslip and bank statement.

Fiance visa still requires the same financial information as family visa though, doesn't it?

Well ideally it should match the bank statement but since your are the only director then chances may be some discretion might be apply. however, if you are not desperate then i would say wait for one month to sort out your salary figures before apply. you can also ask your accountant to amend last two, three months payslip according to your bank statement.

I don't have payslips. As I said previously, like many in my situation I just transfer funds as and when. I don't waste time writing payslips to myself. Once a year I sent my rough accounts to my accountant and he prepares everything. He doesn't write me payslips or anything like that. Of course had I known about the amount of evidence required for a visa, then I would have. I can't turn back time, but I suppose we can invent some payslips / dividend vouchers.

I will ask my accountant if it's possible to change the recent company accounts and change the £8,244 salary to £8,000 as this can then be accounted for exactly. I'm not sure if that's possible though because I signed them off last month, but I'll see.

I still am confused about the rental income. This is on different dates (6th April to 5th April) than the company accounts. Any idea how I deal with this?

[wahi66]

why don't you get the fiance visit visa and get married in the UK and then apply her spouse visa. by doing this, you ll get time to sort out your payslip and bank statement.

Fiance visa still requires the same financial information as family visa though, doesn't it?

Well ideally it should match the bank statement but since your are the only director then chances may be some discretion might be apply. however, if you are not desperate then i would say wait for one month to sort out your salary figures before apply. you can also ask your accountant to amend last two, three months payslip according to your bank statement.

I don't have payslips. As I said previously, like many in my situation I just transfer funds as and when. I don't waste time writing payslips to myself. Once a year I sent my rough accounts to my accountant and he prepares everything. He doesn't write me payslips or anything like that. Of course had I known about the amount of evidence required for a visa, then I would have. I can't turn back time, but

I suppose we can invent some payslips / dividend vouchers.
(yes talk to your accountant how safe you can play around)

I will ask my accountant if it's possible to change the recent company accounts and change the £8,244 salary to £8,000 as this can then be accounted for exactly. I'm not sure if that's possible though because I signed them off last month, but I'll see.

well i m sure he can amend this or you can issue a credit of £244 as a balance needed to be paid by the company to you.

I still am confused about the rental income. This is on different dates (6th April to 5th April) than the company accounts. Any idea how I deal with this?

ok so you will need to provide two different accounts
1. company's account
2. self assessment 2017/18 or 2018/19 if applying after 5 april 2019

basically your self assessment will provide all the income information including salary, divided and also rental income. but as your company is one of your income source you also need to provide extra documents for the company's accounts.

[bobbyboat]

well i m sure he can amend this or you can issue a credit of £244 as a balance needed to be paid by the company to you.

Hopefully he can amend as issuing a credit now of £244 would fall outside the 12 month range of the company accounts. This is why I was asking how strict they are.

ok so you will need to provide two different accounts
1. company's account
2. self assessment 2017/18 or 2018/19 if applying after 5 april 2019

basically your self assessment will provide all the income information including salary, divided and also rental income. but as your company is one of your income source you also need to provide extra documents for the company's accounts.

Okay, thanks. This is what I assumed but it was not clear from what I read elsewhere, but it makes perfect sense.

I appreciate your replies. Thank you.

[wahi66]

well i m sure he can amend this or you can issue a credit of £244 as a balance needed to be paid by the company to you.

Hopefully he can amend as issuing a credit now of £244 would fall outside the 12 month range of the company accounts. This is why I was asking how strict they are.

they are very strict and thats why credit note will overcome the confusion figure. as long as long the mistakes are rectified properly, there is no problem. Technically, these £244 is also a question mark to your company's account in case HMRC decided to investigate your company. Your accountant should have identified this mistakes before even filing the final accounts as this is one of their core job to audit and match the bank statement figure to the invoices and payslips. you should have a word regarding this with your accountant to avoid future HMRC inquiry. because HMRC will grill you like no other in the world when it comes to investigation on wrong figures/entries.

ok so you will need to provide two different accounts
1. company's account
2. self assessment 2017/18 or 2018/19 if applying after 5 april 2019

basically your self assessment will provide all the income information including salary, divided and also rental income. but as your company is one of your income source you also need to provide extra documents for the company's accounts.

Okay, thanks. This is what I assumed but it was not clear from what I read elsewhere, but it makes perfect sense.

I appreciate your replies. Thank you.

you welcome