Properly use company card for emergency personal expenses

[StanK]

Hi, I am asking about my own company in which I am also a director.
Say, I am on travel and my personal card is unusable for some reason, but my company card is.
So I am forced to use company card for relatively long period of time for personal shopping/travel/accommodation. Almost nothing of that can be claimed as company expense.

How to properly account for that?

Thank you!

 

[STDFR33]

Debit the directors loan account. There’s potentially tax consequences of doing that.

 

[DontAsk]

My not be the correct, or best, way, but I would journal each item to the Director's loan account and then a single payment from me to clear the DLA deficit. I don't think there are tax consequences if you clear it straight away.

Or simply don't account for them at all. Make an extra payment from your personal account to the card account to cover them. When I had a card as an employee, that's effectively what happened. My employer would only accept valid expenses claims and I was personally liable for clearing any other outstanding debt on the card.

 

[StanK]

Thanks!
After reading about Director's loan, yes, looks like the company will not incur any corporate tax if loan was repaid before accounting period end.

 

[Alison Moore]

I do it from time to time - it's so easy to select the wrong card/paypal account etc when paying on line. I just refund it from our loan account to the business. I've never had a problem doing that - I just make a record of what I've done so the accountants can see.