I am having a look at the “Total Distributable Profit” functionality, and it seems to provide no information of use (assuming that my understanding is correct).
The knowledge base sells this feature on being able to tell a user how much profit is available to distribute as a dividend.
My understanding is that dividends are paid out of distributable profits available on the date of the dividend. If I want to distribute a dividend on 5th January I need to know the distributable profits available at that point in time (independent of accounting years). Right?
The current functionality only display data for 12 month ‘year’ periods. This is also confusing as my companies first accounting period is greater than one year. Some profits made in this extended first year are displayed under the period “01/04/2014 to 31/03/2015” yet my first period is in fact “23/03/2015 to 31/03/2016”.
I.E The rigidity of the available options means that the functionality is highly unlikely to cater for many companies actual situations…