Dividend from previous year

I note that I can declare and draw a dividend from a previous years profits, if I tag from bank statement a div however it will show as a Dividend payment this year thus ‘distributable profit’ will be in negative. Do I just ignore this?

You need to be careful on dividends its the over all reserves that count not just last year’s profit, if you have massive loss this year which is pushing over all balance sheet to negative reserves then its a no no

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