Directors loan repayment

Question asked by Pete 3 years ago

We have a director who has a DLA that is negative, e.g. the company owes her £1000

I assume to pay this off in the accounts very simple as there is no interest involved

Company pays director £1000 to her personal account. When statement is I'm ported company explains the £1000 paid to director, by making it a transfer to her DLA, which would then show £0

Is this correct?

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1 Reply

Hi Pete,

Yes, that is correct, you must explain the repayment as a transfer.

Tommy

Best answer
3 years ago

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