Recording out of pocket spending by Director & staff on behalf of Pvt Ltd Company and its repayment

Situation

My name is ABC. I am the Director of XYZ Pvt Ltd company, and the company's present total cash and bank balance is Rs.0, and I have made a purchase for Rs.10,00,000 on 01/01/2024 on behalf of the company (bill issued in company's name) and paid from my personal bank account. I have submitted original tax bills and my digital payment receipts to company. Later, Company has reimbursed me the amount on 01/10/2024. Company uses Tally Prime for accounting.

Question:

Should I create a petty cash account in my name as "ABC Petty cash" under "Cash in Hand" head, then transfer 10 Lakh rupee from another account namely "ABC Loan" created under Current liabilities in Balance sheet, then spend the amount to the vendor as a Payment voucher? Or
Whether recording the total amount of Rs.10 Lakh as 50 cash loans of Rs.20,000 each deposited in the company’s cash account on a period of 50 days prior to the date of spending do any good in terms of Income Tax cash transaction limits?
What is the best way to record the petty cash expenses of staff and directors made through their personal accounts in electronic mode? Consider that, at the time of spending, the net balance of company is less than the expense in question and company can only reimburses the amount so spent in a future date (what is it is within this FY and outside the FY). Presently the staff or director has took the amount out of his savings.

To ensure accurate accounting and compliance with tax regulations, I recommend the following:

1. Create a "Director's Loan" account under "Current Liabilities" in Tally Prime.

2. Record the Rs. 10,00,000 payment made from your personal account as a "Director's Loan" entry.

3. When the company reimburses you, record it as a "Repayment of Director's Loan". Avoid creating a petty cash account in your name or recording cash loans in smaller amounts to circumvent tax limits.

This could raise audit concerns and is not a recommended accounting practice.

For petty cash expenses made by staff or directors through personal accounts:

1. Create a "Petty Cash Expenses" account under "Expenses" in Tally Prime.

2. Record the expenses incurred by staff or directors as "Petty Cash Expenses".

3. When the company reimburses, record it as a "Repayment of Petty Cash Expenses". Ensure accurate and timely recording of all transactions,

Remember, it's essential to maintain transparent and accurate accounting records, especially when dealing with related-party transactions like director's loans and petty cash expenses.