Loan to directors

This topic has 1 reply, 2 voices, and was last updated 7 years ago by P2-D2.

Viewing 2 posts - 1 through 2 (of 2 total)

Author

Posts
November 5, 2018 at 9:21 am #483872
zkaay
Participant
- Topics: 212
- Replies: 98
Hi sir,

1) Is it allowed to give loans to directors?

2) if yes, how to treat them?

Thanks
November 5, 2018 at 7:55 pm #483932
P2-D2
Keymaster
- Topics: 4
- Replies: 7235
Hi,

Yes it is allowed from an accounting perspective but there may be tax issues surrounding it. There is nor special accounting treatment other than it being a related party transaction and will therefore need to be disclosed.

Thanks
Author

Posts

Viewing 2 posts - 1 through 2 (of 2 total)

You must be logged in to reply to this topic.