Overdrawn director’s loan account – does your company pay tax on the balance?
Date posted: 21st Nov 2024
A director may withdraw money from the company for personal use or may lend money to the company. The company may pay some of the director’s personal bills, and the director may personally meet some company expenses. The director’s loan account is simply an account for recording the transactions between the director and the company in much the same way as a bank account.