If you borrow money from your company it might have to pay a special tax charge for the privilege of letting you use its cash. The tax bill can be avoided if the debt is repaid, but is it better for
your cash flow to pay it?
Published 19.11.2021
Where your company lends you money, it might face a tax bill as a result. You can get your company off the tax hook by repaying the loan. But if money is tight and repayment isn’t possible, is there
another way to dodge this tax?
Published 08.12.2010
You borrowed cash from your company last year and the plan was to clear the debt with a dividend from your company next tax year. The trouble is by then the new higher dividend tax rate will apply.
Should you therefore clear the debt sooner?
Published 27.09.2021
One of our subscribers has decided to close a subsidiary of her main company. Her loan account with the subsidiary company is in the red by nearly £20,000. If the subsidiary is wound up, what tax
liabilities might this trigger?
Published 10.02.2021
Your director’s loan account is significantly overdrawn, so your accountant suggests writing the debt off as this will be tax efficient. But you’re not so sure; you recall a change in the rules
relatively recently. So should you follow his advice?
Published 11.01.2012
As a shareholder if you owe your company money it might result in an extra tax charge. This can be avoided by clearing the debt with a simple book entry or as a transfer of the cash required, but
which is the best option?
Published 17.09.2019
With all the fuss over HMRC’s new anti-avoidance rules for loans to director/shareholders, are you overlooking the most important point? Can borrowing from your company still be a tax and
cost-efficient benefit in kind?
Published 21.06.2013
If you borrow from your company and don’t repay the debt within a set time it will have to pay extra corporation tax. The good news is there’s a legitimate way to avoid it without repaying the loan.
How is it done?
Published 22.01.2016
Where a director owes his or her company money, it can face a tax bill. But it’s not an easy job to work out how much this should be, and the Taxman will have his own ideas. What steps can you take
to keep the bill to a minimum?
Published 19.01.2011
As the director shareholder of your own company you might borrow from it to cover personal expenses. The trouble is owing money to your company can trigger a hefty tax bill. How can you avoid this
without repaying what you owe?
Published 09.04.2018