‘Tax charge on taking a loan from a close company’ is the title of the latest newsletter from Stockport’s Booth Ainsworth Accountants.
If you have an overdrawn loan account with your company, there is a tax charge on the company unless the loan is cleared within 9 months of the end of the period to which accounts are prepared.
Nasty anti-avoidance measures have been introduced to stop companies avoiding the tax charge. In particular when the loan is at least £15,000 and is repaid just before the 9 month deadline but with the intention of re-borrowing from the company, and that intention is carried out, the amount repaid is ignored. That results in a tax charge arising as if the loan had not been repaid in time.
Find out more here
Vernon Building Society launches Junior Regular Saver to help next generation build good money habits 
Iran war pushing up borrowing costs for North West SMEs, believes Azets specialist 
Together upsizes securitisation facility to £1.2 billion