Borrowing from own LTD company.

[MarillionFan]

Ohh what you getting???

Hopefully a property in here. If the price is right.

http://www.strakers.co.uk/pdf/Strake...1232010177.pdf

[Notascooby]

Where was the abuse about not using google - this has been asked lots of times already, are you sure you know what you're doing, don't mix company money and personal money and of course - are you cut out for contracting?

Paaah it's double standards in here sometimes.

[northernladuk]

Hopefully a property in here. If the price is right.

http://www.strakers.co.uk/pdf/Strake...1232010177.pdf

There is a nice mansion in Bristol coming up soon, needs a bit of TLC, 35 not so careful 'owners' just vacated

Some great looking properties there. Some of them no brainers but some need some vision it seems.

[MarillionFan]

Where was the abuse about not using google - this has been asked lots of times already, are you sure you know what you're doing, don't mix company money and personal money and of course - are you cut out for contracting?

Paaah it's double standards in here sometimes.

We don't abuse our own in here. Only in General.

Also that advice is for noobs.

[Pondlife]

Have not discussed with my accountant yet, but was wondering what the rules are on taking a loan from your LTD for a short period of time.

Lets say for example you have £40k in your bank account.

£20k is put aside for corporation tax for 2011/2012 that needs to be paid in Sept 2012.
£5k put aside for VAT to be paid in a few months.
£8k put aside for Self Assessment tax

Bearing in mind I know I have to pay some interest on a loan. Can I take the £33k out for a 6 week short-term directors loan or is there an insolvency issue here???

I should add, I'm happy to take loans against the LTD for money I know will be paid out in divvies, this is about going into HMRCs money.

Not sure you should be paying that out of the company account matey.

[northernladuk]

Not sure you should be paying that out of the company account matey.

Yeah you bloody noob!! It's COMPANY money, not YOUR money.. Read the flippin guides...

Jesus...

(just to keep Notascooby happy)

[scooby]

Why dont you just pay a large divi, and this ensure that there is enough to pay your tax at year end?

(NB I'm probably speaking out of my arse!)

[Wanderer]

Bearing in mind I know I have to pay some interest on a loan. Can I take the £33k out for a 6 week short-term directors loan or is there an insolvency issue here???.

There is a lot of advice out there saying not to take directors loans, the money in the company isn't yours etc, but my view is that if you own the company then it's not illegal to take a loan from the company so you can do what you like with the company's money.

There is thread with a summary of how to do directors loans. Basically, pay it back with interest at the approved rate and understand the significance of the loan being outstanding at the company year end date and at the year end + 9 months.

[Scrag Meister]

WWS ^

Personally I try not too but occasionally I don't see a problem with it.

Back in Jan I bought a new car which I borrowed 16k from the company, come April 6th still pre-year-end, I took a large div and paid it back with 4% interest, as far as I am aware this is acceptable (legal) and tax efficient.