Reply To: Proper way of billing company’s expenses

[Anonymous]

Up

0

::

Hi Perugio and welcome to the forum.

You should definitely pay yourself back through your company bank account. Make sure you keep the receipt as proof of purchase.

The purchase will be treated as a company expense for example it could be a subscription or a work tool. The expense will be deducted from the revenue your business has made for your tax return.

There is no impact on your personal tax return because you paid yourself back in full.

Sometimes the business expense could be a capital asset like new machinery and this is then taken to your balance sheet as an asset .

I hope this helps and best of luck with your business.

Chris