Company as a Director

Company as a Director

Didn't find your answer?

An offshore company (ABC Ltd) is a director in UK company (UK Ltd). UK Ltd pays ABC Ltd consultancy fees. How should these fees be disclosed in the accounts i.e. should they be shown as directors fees or as Consultancy fees and disclosed in related party note?

Thanks

Replies (2)

Please login or register to join the discussion.

Euan's picture
By Euan MacLennan
07th Dec 2012 13:16

Consultancy fees

If "UK Ltd pays ABC Ltd consultancy fees", they are, by definition, not directors' fees.

Disclose as Admin Expenses in P&L (or conceivably, as Cost of Sales, depending what they are consulting on) and in the related party note.

Thanks (1)
avatar
By bernard michael
07th Dec 2012 15:28

I assume no human director of

I assume no human director of UK Ltd is not also a director of ABC Ltd ( just checking because I have had this the past - led to big problems) 

Thanks (0)