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How does a director's loan work?

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Each overdue payment of a director's loan signifies your organization will pay further Corporation Tax at 32.5 per cent on the amount exceptional. This additional 32.5 per cent is repayable to the corporation via HMRC when the loan is repaid to the company by the director.
Always stay safe! It is safer when you trade locally, you see the goods before paying. Avoid using payment / transfer methods such as Western Union, this is the same as sending cash to someone. If you do not trade locally use a service such as PayPal, this can offer you some protection, see for terms. If it is a business that you are purchasing from, paying with a credit card can offer you some protection too.
Vidit Agarwal DNS Accountants is an award winning UK based accountancy firm that provides full range of accountancy services, payroll accounting, bookkeeping, self-assessment tax return, year-end accounting service to contractors/freelancer/sole trader and private limited companies across the UK. Posting for 3+ years

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