You are set up in a tax efficient way so that you have the option of only withdrawing up to the basic rate tax threshold (£45k pa or £3,750 per month for the year ending 5/4/18), from your business and therefore avoid paying any higher rate income tax.

However, if your earnings have gone into the higher rate of tax for the year then you have the choice of either paying back earnings over and above £45k back into the company bank account, or we can declare additional dividends and this will result in some higher rate tax to be paid through your next personal tax return.

Just let us know which option you prefer and we will reflect this in your accounts.