Definition
A dividend voucher is the written record a limited company gives a shareholder each time it pays a dividend. GOV.UK says the voucher must show the date, the company name, the names of the shareholders being paid and the amount of the dividend. Kept with the board minutes that declared the dividend, it is evidence that the payment was a genuine dividend rather than salary or a director’s loan.
Where the voucher fits
The directors hold a meeting to declare the dividend and keep minutes, even when the company has only one director. The company then issues a voucher (sometimes called a dividend counterfoil) for each payment. Many vouchers also show the number of shares held, which makes the split between shareholders easy to check.
A voucher does not make a dividend lawful on its own. The company must have enough distributable profits first, or the payment is an unlawful dividend. The SmartFiling guide to dividend vouchers, minutes and timing sets out the full sequence.
Example
Hill Design Ltd has two shareholders with 50 shares each. On 30 June 2026 the directors declare a dividend of £50 per share, so the company issues two vouchers dated 30 June 2026 for £2,500 each.
Related questions
- How do I pay myself a dividend legally? Check the company has enough distributable profits, declare the dividend in board minutes, issue a voucher to each shareholder, then make the payment.
- Do I need a voucher if I am the only shareholder? Yes. GOV.UK requires a voucher for each dividend payment, however many shareholders the company has.
Related terms
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Unlawful dividend
An unlawful dividend (often called an illegal dividend) is a dividend a limited company pays when it does not have enough profits available for distribution to cover it.
Read definition -
Director's loan account
A director's loan account (DLA) is a limited company's record of money moving between a director and the company other than salary, dividends or repaid expenses.
Read definition
