Could someone please point me in the right direction regarding distribution of a close company income, realised somewhat unexpectedly at the end of a tough year.
Is it OK to amend the previous (rather low) salary with a bonus to a tune of 10k and pay the Revenue/Social rates, or are there any pitfalls and penalties in such case?
Alternatively, would dividends be the way to go (my concern about this is supposedly too much paperwork/different treatment)?
Obviously personal tax/Income Levy/PRSI will be higher in both cases, but right now I’m in the dark as regards prudent deductable investments which would reduce CT surcharge (any examples would be greatly appreciated).