Hi,
Is it possible to refund some of 2014 wages to a Ltd company? Director is Employee and in 2014 was paid wages based on Invoices issued but one yet to be paid. This was funded by a directors loan. Accounts for the year 2014 have not yet been submitted but the P30/P35s have been.
The outstanding Invoice has not been settled but for several thousand less, due to issues on the client side.
This year the plan is to move to a PAYE job and close the company. Therefore is it possible to reverse the wages paid in 2014 and therefore avoid paying the PRSI / USC / 4% PRSI on the refunded portion of those wages? Let's say FW52 of 2014. So therefore the directors loan that was used as cashflow could be refunded.
Is it possible to refund some of 2014 wages to a Ltd company? Director is Employee and in 2014 was paid wages based on Invoices issued but one yet to be paid. This was funded by a directors loan. Accounts for the year 2014 have not yet been submitted but the P30/P35s have been.
The outstanding Invoice has not been settled but for several thousand less, due to issues on the client side.
This year the plan is to move to a PAYE job and close the company. Therefore is it possible to reverse the wages paid in 2014 and therefore avoid paying the PRSI / USC / 4% PRSI on the refunded portion of those wages? Let's say FW52 of 2014. So therefore the directors loan that was used as cashflow could be refunded.