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Where Taxpayers and Advisers Meet

Ltd company

flinchester
Posts:2
Joined:Wed Mar 17, 2021 12:44 pm
Ltd company

Postby flinchester » Mon Dec 13, 2021 10:55 pm

Hi I was just wondering if anybody knew you the rules with regards to corporation tax.
I'm currently self-employed and invest in a company that loans money to individuals who wish to utilise the funds to renovate properties and convert buildings into flats in order to rent or sell.
I am one of the many investors who have put in their own personal money in which we get a return egarded as interest on loans.
I pay self assessment on any profits that I make make-up and I have recently set up a limited company in addition to self assessment in which I would like to apportion some of my investment loans through the company.
I would be paying corporation tax on any profits that I make
My question would be
£2,000 is a dividend from the profit before paying a dividend tax.

What's the rules regarding making a directors loan to the company ?
Could I for example mend the company 300 k of my own money which would then be invested in these loans then using the profits to pay back this loan in time ?

pawncob
Posts:4876
Joined:Wed Aug 06, 2008 4:06 pm
Location:West Sussex

Re: Ltd company

Postby pawncob » Tue Dec 14, 2021 8:27 pm

https://www.gov.uk/hmrc-internal-manuals/company-taxation-manual/ctm60710
With a pinch of salt take what I say, but don't exceed your RDA


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