Member

The second well-known wheeze is that people should put their spouse and their kids, some as young as 13, on their company payroll, pay them £12,500 each and extract the cash tax-free. That sounds brilliant—I cannot wait till my children get older—except that it is not. If they are not doing genuine work, it is not a deductible expense, and for any child under 14 it may well be illegal. We are not talking about a grey area here, yet that advice has been shared millions of times.