How should i book personal expenses of director

How should i book personal expenses of Director in Pvt.Ltd. comapny books? Directoir is making payment of these expenses buy his credit card. Payment of credit card is done thourgh company accounts. Should i book only payment entry of credit cards or i have to book journal entry for expenses also.

Replies (1)

If you are able to identify the personal transactions,, than charge it to his personal A/C,,,

otherwise,,, what we do in companies is--- we take all the expenses from credit cards,,, identify the personal expenses,,, like "purchase of b'day cake",, but expenses like "hotel expenses",, may be for a meeting so,,,we total all expenses and charge 1/10t hto directors personal account(as per income tax act)....

in brief--

total of all expenses

(-) expenses of personal nature (if identified)

divide the rest of amount by 1/10----- charge it to directors A/c

rest 9/10 to Profit and loss......

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 21 September 2026
CA Article Assistant

KK & Company Chartered Accountant

Pune

CA Inter

View Details
Company
ARTICLESHIP 18 September 2026
Industrial Trainee

Twenty Point Nine Five Ventures Private Limited

Noida

CA Inter

View Details
Company
08 October 2026
Accounts and Tax Associate

POOJA R TELI & CO

Pune

CA Inter

View Details
Company
14 October 2026
Asst. Manager/Dy Manager (Costing)

manufacturing

Pune

CMA

View Details
Company
07 October 2026
Senior Account Manager

Amplio Invest

Mumbai

M.Com

View Details
Company
26 September 2026
Chartered Accountant

pushpganga ventures

Pune

CA

View Details
Company
ARTICLESHIP 07 October 2026
Article Trainee/ CMA Trainee

RMA And Associates LLP

New Delhi

CA Inter

View Details
Company
15 October 2026
Senior Accountant

Continental Belting Pvt Ltd

Mumbai

B.Com

View Details