How are dividends and withholding tax payments handled in UKKO Entrepreneur limited company service

Once your limited company’s financial statements have been finalized and the dividend distribution has been declared, we will take care of the necessary filings with the authorities on your behalf (you only need to electronically sign the documents we send you).

After you have signed the requested documents, you can withdraw the dividend at the agreed time (the general meeting decides from which date the dividend can be withdrawn) and pay the withholding tax on the dividend directly to the Tax Administration (the due date for the payment is the 12th day of the month following the withdrawal date).

We will prepare the necessary expense vouchers for the dividend payment in your customer account:

Dividend payment to the shareholder(s)

• The expense voucher shows the net dividend to be paid (i.e. the actual amount paid to you after deducting the withholding tax).

• If the company has multiple shareholders, a separate expense voucher will be created for each shareholder’s dividend payment.

• Once you have paid the dividend to the shareholder(s), assign the correct account transaction to this expense voucher (mark the expense as paid).

Withholding tax payment to the Tax Administration

• The expense voucher shows the amount of withholding tax to be paid to the Tax Administration on the dividends (7.5% of the total dividend amount).

• The due date for the payment is the 12th day of the month following the first possible dividend withdrawal date (exact payment details can be found in the tax return attached to the expense).

• Once you have paid the withholding tax to the Tax Administration, assign the correct account transaction to this expense voucher (mark the expense as paid).

Our service fee includes one dividend distribution per financial year, carried out in connection with the financial statements we prepare (we cannot handle dividend filings for financial statements prepared elsewhere).