Are you a director of a limited company? If so you need to be aware that as of the 6th April 2018 the tax free dividend
allowance falls from ?5,000 to ?2,000. The rate of tax applied to dividends in excess of ?2,000 remains at 7.5% within the basic
rate, 32.5% at higher rate and 38.1% for additional rate taxpayers.
The fall in the tax free allowance in particular means that those owner managed companies whose owners take a small salary and the balance as dividend will again see a rise in their tax liability.