Call us 0800 0523 555

Contact Us

*COVID-19 update: Many of our shops and offices are now open for face to face meetings with strict social distancing measures in place. We also offer telephone and video consultations for all new clients in order to discuss your needs. Find the latest COVID-19 information available for your business.

Overdraft interest

I have my own company but it’s got a few cashflow issues so I’ve been paying for business expenses using my own account. However, my bank account is now overdrawn as a result. Am I able to recharge the company some of the interest I’ve incurred?

No, I’m afraid legislation specifically excludes a tax deduction for overdraft or credit card interest. Directors’ earnings are employment income and so no deduction is due.

Had you been operating as a sole trade or partnership, this may have been possible.

If your business is experiencing cashflow problems, you may benefit from meeting with your local TaxAssist Accountant that could give you tips and budgets to help you manage the peaks and troughs in your business.

 

Call us today to make an appointment with your local office

Consultations available by telephone or video

0800 0523 555

Contact Us