How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask taxadvisor.uk Your Own Question
taxadvisor.uk
taxadvisor.uk, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 4996
Experience:  FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
54961312
Type Your Tax Question Here...
taxadvisor.uk is online now

Tony... I have a question re Directors Transactions in

Resolved Question:

Hi Tony... I have a question re Directors Transactions in regard to Comp House returns.
Simon
Submitted: 2 years ago.
Category: Tax
Expert:  TonyTax replied 2 years ago.
Hi.

Let me know what the questions are.
Customer: replied 2 years ago.

I paid costs of £11577 from my personal account in the return period, of which £8647 were repaid to me from the Company bank account. Therefore £2930 was owed to me at the end of the period. Do I enter £2930 as an item in Creditors (falling due within one year) ..if so do I add a Note to the Accounts at this point explaining that, and additionally add Directors Transactions at the end... if the latter is required there are 2 fields, Advances and Repayments. Which way round do I enter the amounts? Advances 8647 and Repayments 11577 or the other way round?

Expert:  TonyTax replied 2 years ago.
Thanks.

Which section of the Annual return are you referring to?
Customer: replied 2 years ago.

The Abbreviated Balance Sheet.

Expert:  TonyTax replied 2 years ago.
There appears to be another question closely related to this so I will opt out and alert the other expert to this one. He uses the HMRC site for this work and I don't so he will be better suited to it.
Customer: replied 2 years ago.

Ok thank you... should I wait for a response in that case?

Customer: replied 2 years ago.
Hi... Have you passed this on?
Expert:  TonyTax replied 2 years ago.
I have passed this on but the expert I sent it to must be otherwise engaged. He will get round to it I'm sure.
Customer: replied 2 years ago.
Ok many thanks.
Expert:  TonyTax replied 2 years ago.
No problem.
Expert:  taxadvisor.uk replied 2 years ago.

Hello and welcome to the site. Thank you for your question.

I am another expert of this site and I am able to help you.

Your question is -
I paid costs of £11577 from my personal account in the return period, of which £8647 were repaid to me from the Company bank account. Therefore £2930 was owed to me at the end of the period. Do I enter £2930 as an item in Creditors (falling due within one year) ..if so do I add a Note to the Accounts at this point explaining that, and additionally add Directors Transactions at the end... if the latter is required there are 2 fields, Advances and Repayments. Which way round do I enter the amounts? Advances 8647 and Repayments 11577 or the other way round?

You treatment of amount owing to you as creditor is correct..

As far as a note to your abbreviated balance sheet goes, there is no need for a note to reflect this entry. I am a qualified accountant and prepare company accounts for a living.
My small clients fund company operations in the same way as you have done so. Any amounts owing to them at year end are shown as creditors -amounts due within one year and I never put a note.

You have purely funded some of the company's costs out of own funds and this is not an event/transaction that has to be reflected in the notes to the accounts. So please ignore the note.

I hope this is helpful and answers your question.

If you have any other questions, please ask me before you rate my service – I’ll be happy to respond.

Customer: replied 2 years ago.

Thank you for answering this. Do I add a note to the Creditors field to explain the balance or is that not necessary?

I have no further questions for this particular query but will come back to you later.

Expert:  taxadvisor.uk replied 2 years ago.
Simon, thanks for your reply.

You don't have to add a note to accounts on creditors.
It is not necessary.

I hope this is helpful and answers your question.
taxadvisor.uk, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 4996
Experience: FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
taxadvisor.uk and other Tax Specialists are ready to help you
Expert:  taxadvisor.uk replied 2 years ago.
I thank you for accepting my answer.

Best wishes.
Expert:  taxadvisor.uk replied 2 years ago.
Your reward of a generous bonus is greatly appreciated.

Best wishes.
Customer: replied 2 years ago.

Worth it! I am still stuck on the accounts for another company ...I will fire you a question tomorrow. Thanks, Simon

Expert:  taxadvisor.uk replied 2 years ago.
Simon, if you wish me to answer then please address it to me in the body of your question.

many thanks