Paying Personal Money into Business Bank account

[DaveM36]

Hi,

Apologies if this is not the right thread but am I looking to pay £7k from my personal account into my Limited company account as Capital and not a loan are there any tax implications doing this please?
Many thanks

 

[Scalloway]

Are you planning to issue shares for this sum?

My view is that unless you are worried about the effect on your Balance Sheet you should just leave it as a loan. Circumstances may change and you could be glad of a sum you can withdraw quickly.

There are no tax consequences for the compnay for you paying in your own money as capital.

 

[DaveM36]

Are you planning to issue shares for this sum?

My view is that unless you are worried about the effect on your Balance Sheet you should just leave it as a loan. Circumstances may change and you could be glad of a sum you can withdraw quickly.

There are no tax consequences for the compnay for you paying in your own money as capital.

Hi
Appreciate the reply
No i am not thinking of issuing shares for this sum.
Since i put the post on my accountant replied saying money paid into your company will be treated as a loan given by you to the company and when the company pays this back to you this will not be counted as dividend etc and it will be mere company paying its loan back.
I was worried about tax being owed on next set of accounts!

 

[STDFR33]

Hi
Appreciate the reply
No i am not thinking of issuing shares for this sum.
Since i put the post on my accountant replied saying money paid into your company will be treated as a loan given by you to the company and when the company pays this back to you this will not be counted as dividend etc and it will be mere company paying its loan back.
I was worried about tax being owed on next set of accounts!

I’m not sure what tax implications you are thinking of?
That said, you’ve got an accountant. They don’t bite. You are paying for a service. Don’t be afraid to ask. They are in the best position to give you advice as they are in the position of having the facts.