I would be grateful for definitive guidance on this point. Company A and Company B are both 100% owned by the same sole director. Company A lent Company B £30,000 to invest. The director now feels that B will be unable to pay back A, and so wants to write off the loan. I have read conflicting advice on this topic and seek clarification, please, as to the tax consequences, if any. Thanks in anticipation.
12th Feb 2024
Loan between connected parties