New Limited Company - 'Parking' Salary Until Company Secures Clients.

[Scrag Meister]

Could you not have accrued your expenses on behalf of the company as a Directors Loan account or similar.

Such that now the company has money it can reimburse you?

[SueEllen]

Could you not have accrued your expenses on behalf of the company as a Directors Loan account or similar.

Such that now the company has money it can reimburse you?

Read the first post

His accountant stated he can be repay the expenses he paid for personally.

[blacjac]

I think what you should have done is to pay yourself a salary during the first year, then immediately loan it back to the company.

The net effect is that no money changes hands - but you have been paid a salary.


I suspect from your tone that this is what you are thinking of when you talk about deferring salary to the next tax year. But as others have said - if you didn't register it with the tax office, didn't get wage slips and didn't submit the end of year PAYE returns, then you can't now withdraw that salary.

[PSK]

Thanks to everyone for their help.

Blacjac and GregCapitalCity - Thank you, I'll go and do some research before I meet the accountant.

SueEllen - Thanks for your help. Based on my replies, not sure why you think I "want the others to say what you want". This is not the case.

Northernladuk - Thanks though hardly. My accounts for 10/11 haven't been submitted, finalised and closed. The accounting period has ended and accounts will be submitted by the dealine. I want to clarify some things. I want to understand the boundaries of my knowledge and recognise in this area, my understanding isn't perfect which is why I am using an accountant. If it is appropriate, I will 'lump a bunch of costs (some expenses)' in the 10/11 accounts though these will be accounted for properly in both sets of accounts. When I work through the preparation of the accounts over the next couple of months, I realise there may be a range of things that are handled differently to my initial expectation, either to a benefit or loss.

Thanks to all.

[SueEllen]

Just run your expenses by your accountant if you are not sure that you can claim them.