Question:
I have shares and receive dividends which will shortly take me over the dividend allowance. How do I transfer the income to my wife, who does not have shares?
Arthur Weller replies:
You cannot just transfer dividend income to your wife. You must transfer some of the shares to your wife, so that when the dividends are received they go directly to your wife. See HMRC’s Trusts, Settlements and Estates Manual at TSEM4200 and TSEM4205.
