On top of the legislation there has also been a number of recent tax cases. Use this link to keep up to date on how to calculate holiday pay: http://tinyurl.com/npwcrwa

HMRC would try to treat a dividend as illegal (insufficient profits) and assess tax and interest if you have not followed the correct procedures. To avoid this print a quick profit and loss account before the dividend is declared. Assuming there is enough profits (after providing for tax [currently 20%]) then prepare the dividend minutes […]

Consider this. You mainly supply services to other business customers who are registered for VAT themselves. You have very little expenditure where you would be able to claim VAT back. Depending on your type of business by using the FRS you can gain a financial advantage. For example: you invoice to your customer £100 plus […]