Offset Mortgage

[Moscow Mule]

Had a reply from the accountant - she says you can do it, but it's a pain in the arse to administer/ and keep on top of.

£5k is the limit unless you want to get really complicated (see morphman's post).

A mortgage is not on the agenda at the moment but I doubt I'll bother when the time comes.

[morphman]

Is it not possible to take a large directors loan, and charge yourself interest just under what you are paying on your mortgage.

Then you can offset the whole lot of it tax free, and the interest you would have paid to the bank, will now go directly to your own company account, to be redistributed as profits.

I think even after the consideration of corproation tax on the interest payments you would probably be better off.

[Lewis]

So that would be a very limited amount, unless you repay it just before the deadline each year. That would be a bit cheeky wouldn't it?

I shall draft a letter to ask the accountants.

Yep, I would guess £5K. I'd be intersted in their reply when you get it as I have an offset.

[Moscow Mule]

Director's loan?

So that would be a very limited amount, unless you repay it just before the deadline each year. That would be a bit cheeky wouldn't it?

I shall draft a letter to ask the accountants.

[Moscow Mule]

Who is silly ? Someone silly or someone relying on them ?

[Likely]

Silly internet explorer - must not forget U3 memory stick again.

Who is silly ? Someone silly or someone relying on them ?

[Swiss Tony]

Can somebody explain how this is legal - or how it works.



From Contractor money trying to drum up business

It maybe the case that part of your residence holds your office from where your company conducts its business. If this is the case you might be able to pay some of your office ‘rent’ or utilities from your company into your mortgage. I would still ask your accountant mind.

[Lewis]

Director's loan?

Yeah that was my only guess too.

[Moscow Mule]

Link has duplicate http in it.

Silly internet explorer - must not forget U3 memory stick again.

[Flubster]

Director's loan?

[oracleslave]

Can somebody explain how this is legal - or how it works.



From Contractor money trying to drum up business

Link has duplicate http in it.

[Moscow Mule]

Can somebody explain how this is legal - or how it works.

If you have a Limited Company it may also be possible to offset a limited amount of Company money too, subject to approval from your accountant.

From Contractor money trying to drum up business