Create dividend without bank transaction

[madbilly]

Hi all,

I’d like to record a dividend which is approved but not yet paid. The Quickfile method to create the dividend voucher and board minutes is helpful but seems to require a bank transaction, however this dividend isn’t going to be paid immediately. Is there a way to do this in Quickfile?

Cheers

[ian_roberts]

Is the shareholder also a director? If so you can create the bank transaction in the director’s loan account - the director has lent money to the company which the company used to pay the dividend, and at some later date the company will repay this loan.

[madbilly]

Hello @ian_roberts,
Thank you, I can see how that will work just as I expected.
Cheers

[madbilly]

Hi @ian_roberts,

I did this and created transactions for the directors loan accounts for the dividends, then tagged as dividends and created the vouchers. However it appears that this has allocated the dividends against the current company reporting year and not the previous year (I can see this in the corporation tax view). Is this correct? I tried changing from interim to final and they stayed in the current year. Do I have to put the transaction date as the reporting year to which the dividend relates?

Or, most likely, is this standard accounting practice and I just don’t understand it?

Thanks