New tax rules on directors loans!

[Clare@InTouch]

New tax rules? Those rules have always been in place, and are specifically referred to in the existing guidance. I'll find a link, hold on.....

[john@UKCA]

Does anyone out there use the bed & breakfast technique whereby the director borrows money from their company, repay it to avoid the corresponding 25% tax charge shortly before the financial year end and then re-borrow the money a short while later. HMRC new tax rules aim to penalise this scenario by matching the loan repayment made with the new loan taken out leaving the orginal loan subject the 25% tax charge.