Director Withdrawals

charleston

Hi,
I have a company that I lodged some money to when I set it up. That money is noted in the company accounts as "Shares Allocated". I'm the only shareholder in the company, but my question is what is the procedure if I now wish to withdraw these funds. The company doesn't need that moeny anymore.
Thanks for any help!!! Trying to get hold of my accountant is my other challenge :-)

crazzzzy

you need your accountants advice really as there are tax implications here.

you cannot take drawings from a company. you can pay yourself a wage or directors salary. there is another option if the company has assets belonging to you but im not an accountant so cant give much info.

charleston

Thanks for the advice. I eventually got my accountant today, so it turns out it is okay to just take it out as the money already had it's tax paid on it....

Cheers!

kluivert

For some reason that sounds like an undistributed dividend.

charleston

Not sure I know what an undistributed dividend is....
I've generally speaking found it very difficult to get any information in relation to director withdrawals / loans / dividends etc. Revenue.ie have a wealth of information but very little in this area....

bored and tired

sounds like your accountant is treating the set up funds as a director loan to the company and you taking them out is the company repaying the loan. Fairly straight forward if it were set up properly to begin with,

charleston

That's what he said, so hopefully it'll all work out fine!!