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How to reimburse directors for company expense

Others 353 views 1 replies

Hi, 

We are two directors in pvt. ltd. company. For our company business, we need to rent servers from USA for which payment can only be made using credit card. We dont have a credit card for company yet. So we pay the server charges using one of our personal credit cards. Our statement shows charges as following(for example):

1. Server charges   :  2000/-

2. Currency conversion charges by bank:  200/-

3. GST on currency conversion:  36/-

Till now we are bearing the expenses ourself and not showing in company records but as the cost is increasing we want to show the expense in company.

Please guide me what is the proper procedure to reimburse the amount to director. What documents company should seek from director and how do we show it in our book of accounts?

Replies (1)

Somebody Please help.


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