Will your income be cut by the new dividend tax?
Many ex-pats are still suffering from the cuts in income that have taken place due to the very low interest rates they continue to endure on their savings.
Well brace yourselves for more! Any of you who rely on dividends from shareholdings to supplement your income are about to see a whole new look to the tax regime associated with them.
Dividends are annual cash payments made to holders of certain shares, they provide a vital source of income to many pensioners who rely on savings in retirement. The way dividends are to be taxed is to change from April 2016 and will see basic-rate taxpayers subject to a new levy of up to 7.5 per cent.