My Director's Loan Account owes me money?

[Robot]

My annual CT paperwork / accountant tells me that the company personally owes me about a grand which I am entitled to take tax-free from the Director's Loan account.

I'm a bit confused how that comes about... I've never used this facility and the only money I ever put into my company was £50 for the initial shares being set up at formation time.

Anyone?

Rather poor, the accountant should have given you a breakdown of the directors loan account before sending you the annual CT paperwork.

[SallyPlanIT]

That was the answer I got when I asked what the number meant - "it's a credit on your Director Loan Account".

Go back and ask them for a breakdown of it. It's them that's posted to the account.

[d000hg]

Have you asked your accountant?

That was the answer I got when I asked what the number meant - "it's a credit on your Director Loan Account".

[thunderlizard]

Probably the accountant being lazy and sticking anything that doesn't add up into the Directors' Loan account. Maybe salary underpayment but it could be anything. Ask them how it arose, get it put in the right place, and if you prefer, make the appropriate transaction and book it to the previous year to cancel it out.

[northernladuk]

Have you asked your accountant?

[xoggoth]

No salary due, dividends declared, valid expenses paid for by you?

[d000hg]

My annual CT paperwork / accountant tells me that the company personally owes me about a grand which I am entitled to take tax-free from the Director's Loan account.

I'm a bit confused how that comes about... I've never used this facility and the only money I ever put into my company was £50 for the initial shares being set up at formation time.

Anyone?