I am in the process of performing a voluntary strike off for my LTD company as I have gone back to full time employment. My accountant has said if I want to withdraw the final amount in cash I would need to pay myself a salary and a dividend. The amount is under the £25,000. Is this the only way I can withdraw the money or would it not be possible to claim this as a capital distribution to reduce my tax burden on my SR as taking it as a dividend will result in a high tax bill?  

Arthur Weller replies:  

If you look at HMRC’s capital gains manual cg64115 https://tinyurl.com/rmt8d48k and HMRC’s company taxation manual ctm36220 https://tinyurl.com/6ej52hay, you can see that you can do a voluntary writing off of your company, and claim capital treatment of the final distribution from the company, because the amount to be distributed is less than £25,000.