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All cash flows of the company are reflected in the reports, so cash withdrawals from the settlement account of the LLC cannot go unnoticed. Cash transactions for companies are usually a sore subject. For example, within the framework of one contract, a legal entity cannot receive or spend more than $ 1500. And this is not the only limitation.
To reduce the risk of fraud, banks set higher fees and limits on cash transactions.
Below we will analyze all the possible ways of how to withdraw cash from the settlement account of an LLC.
Navigation through the article:
Legal ways
The absolutely legal methods of cashing out funds from the settlement account of an LLC include the following:
Now about each method in more detail.
How to withdraw money from the settlement account of an LLC for business
The basis for the issuance of funds can be an order or other administrative document signed by the head, or a statement from the employee, on which the head's approval will be affixed.
The document must contain the purpose, the amount to be issued and the period for which it is issued. Within the specified period, the responsible employee must provide documents confirming the costs incurred for the task, and return the balance or, if there were no costs, return the entire amount in full. After the expiration of the time interval indicated in the order, the employee has no more than 3 days.
Issuance and return are executed by cash orders (expense and receipt).
The amount of one check or contract, act that the employee will pay cannot exceed the limit of 100 thousand rubles. Although the maximum amount of issued funds is not regulated in any way.
Wiring:
If the employee does not return the funds received or their balance:
How to withdraw dividends from an LLC current account
A very important nuance for the accountant and the company's management - dividends are calculated based on the company's net profit, so it is virtually impossible to estimate their volume before the end of the reporting period. In order not to get a situation in which the actually paid amount exceeded the calculated one, it is best to make the accrual after the end of the reporting period (depending on the selected tax regime).
You cannot receive dividends if:
Payment term - no later than 60 days from the date of the decision (unless otherwise specified in the charter).
Personal income tax is withheld from the amount (tax is paid no later than 1 day after the payment is made), which for 2019 is:
Postings:
If a member of the company is an employee of the company:
If the participant is not an employee:
How to withdraw money from an LLC account in the form of a salary or bonus
The very first condition is that the founder must work for the company. That is, an employment contract must be concluded with him, in which the amount of wages will be spelled out.
From the point of view of any individual, this is the most correct and logical legitimate withdrawal of funds from any business:
Things to remember when calculating salaries:
Postings
Accounting for employee benefits is more difficult than anyone else. The number of the correspondent account will depend on the scope of the enterprise. And the timing of payments and other nuances - from the category of payments (vacation pay, advance payment, sick leave, etc.).
Typical wiring:
How to cash out money from an LLC account with travel expenses
Travel allowances can be paid only to those employees who work in the state.
The main interest is the daily allowance, the size of which is not limited in any way (determined by a local act at the enterprise). But personal income tax is paid from amounts that exceed the limits established by the Tax Code. Limits:
In addition to the daily subsistence allowance, the company must pay:
If the expenses are not confirmed by the relevant documents (checks, contracts, invoices for payment, tickets for travel, etc.), and the funds issued in advance will not be returned, then the employer is obliged to pay personal income tax and contributions. They cannot reduce the taxable base.
The only exception is the cost of renting housing - without confirmation, only an amount exceeding the limit specified in the Tax Code is taxed.
Travel allowances are also accountable funds. Therefore, for their issuance, an order from the head is required, and upon return (no more than 3 days later), the employee submits an advance report and the remaining funds, if any.
Wiring example:
Withdrawing funds from the settlement account of an LLC for issuing a loan
Legally, there are no restrictions on the amount, interest rate or repayment procedure for loans issued by legal entities to individuals. In this case, the recipient can be anyone:
An interest-free loan is also allowed. But there are a number of important points regarding rates:
All transactions of receipts and expenditures are necessarily carried out at the cash desk.
If the borrower is an employee of an LLC, then the company withholds personal income tax from the benefit on its own from the next payment to this employee. If the borrower is an unauthorized person, the organization submits a report to the IFTS.
Transactions when issuing a loan to an individual:
Illegal ways or cheated
When it comes to illegal cashing out of money from the settlement account of an LLC, then, as a rule, all such operations on securities look like legitimate, but in fact they are used for another purpose - tax evasion.
That is, for example, the manager gives an employee or even himself money for business expenses, carries out the issuance at the checkout, but in fact keeps the money for himself or spends it on his own needs. The situation is similar with payment for goods or services by bank transfer (from a corporate cash card), when the purchased goods or services actually have nothing to do with the interests of the company.
Some do the same with travel or hospitality expenses.
At the exit, the manager or founder (as the most interested persons, although any other employees can be in their place) receive funds without paying personal income tax.
It is quite simple to check the legality of transactions - there will be obvious problems with the reporting documentation.
There are other, equally popular ways to avoid taxes:
Liability for illegal withdrawal
The question of how to correctly cash out money from an LLC account is asked by many founders and managers. But in fact, the regulatory authorities are actively working to find violations. And the larger the amount of the transaction, the more interesting it becomes for employees of the Federal Tax Service Inspectorate or other government agencies.
If you involve your relative in money laundering, it will be easy to trace. If you buy goods for personal use with the money of the organization, it will also be easy to find out and prove.
Some schemes are more difficult to detect, but this does not mean that they are worth using. If proven guilty:
The most likely options for criminal punishment:
The requirements of Articles of the Criminal Code also apply to accomplices, instigators and accomplices.
For the first violation the perpetrator can avoid criminal punishment if he compensates for all material damage caused.
To reduce the risk of fraud, banks set higher fees and limits on cash transactions.
Below we will analyze all the possible ways of how to withdraw cash from the settlement account of an LLC.
Navigation through the article:
- Legal Ways: Comparison
- For household needs
- Dividends
- Salary / bonus
- Travel expenses
- To issue a loan
- Cash out
- Responsibility for illegal cashing
Legal ways
The absolutely legal methods of cashing out funds from the settlement account of an LLC include the following:
| Base | Key features | Approximate commission | Pros | Minuses |
|---|---|---|---|---|
| Household expenses | For such an operation, the limit of $ 1500 does not apply, but all expenses incurred must be confirmed by supporting documents (checks, acts, etc.). That is, funds are issued against accountability. In turn, the responsible employee cannot exceed the established limit for one contract of $ 1500. | Taxes - 0%, Bank - 1-20% (depending on the selected cash settlement rate and the amount) | Minimum tax rate percentage. | The list of what accountable funds can be spent on is clearly defined. A large number of supporting documents are required. There are restrictions on the amount of one contract. Funds spent without confirmation can be recognized as income of an individual. |
| Dividends | Dividends can be received only if the company makes a profit, the frequency of payments cannot be more often than once every 3 months (quarter). The limit for settlements is $ 1500. does not work here either. If the payment is made in favor of an individual, then it is subject to personal income tax (the percentage depends on the status - 13 or 15%). | Personal income tax - 13% / 15%, Bank - 0-8% (depending on the cash settlement rate and the amount) | There is no limit on the amount received. The funds received are completely legal. | There is a large gap between operations for receiving funds. Money cannot be posted if the company has no profit. The accrual operation is associated with a large amount of work and reporting documents. |
| Salaries and other social benefits | For this reason, banks traditionally charge the lowest commission, there are no restrictions on the amount of payments as such. But the organization is obliged to pay for the employee the required insurance and pension contributions, as well as personal income tax. | Contributions + personal income tax - from 13 to 45%, Bank - 0-1% (there may be fixed commissions for servicing a salary project) | There are no restrictions on the amount issued. The funds received are completely legal. Sufficient frequency (2 times a month). | A very high percentage of fees. The registration of an employment relationship is complex in itself. The salary must be paid. |
| Business trip | The method is in many ways similar to household expenses, it differs only in wiring. | Taxes - 0% Bank - 1-20% (depending on the selected cash settlement rate and the amount) | Minimum tax rate percentage. | The list of togas on what accountable funds can be spent is clearly defined by law. A large number of supporting documents are required. There are restrictions on the amount of one contract. Funds spent without confirmation can be recognized as income of an individual. |
| Issuance of a loan | For this reason, the withdrawal of funds from the settlement account of an LLC can be made in favor of both a legal entity and an individual. Interest accrual is optional. Issuance is confirmed by an agreement, and the amount is subject to mandatory return. | Personal income tax - 35% of the amount of the benefit, or interest on a loan, Personal income tax 13% of the total amount of the forgiven loan Bank - 1-20% (depending on the selected cash settlement rate and the amount) | There is no limit on the amount received. Funds can be obtained at any time. | High complexity of registration and maintenance. Funds are required to be returned. When the loan is “forgiven”, the standard personal income tax is paid. In any case, interest is charged on the interest benefit (even if the loan is interest-free). |
How to withdraw money from the settlement account of an LLC for business
The basis for the issuance of funds can be an order or other administrative document signed by the head, or a statement from the employee, on which the head's approval will be affixed.
The document must contain the purpose, the amount to be issued and the period for which it is issued. Within the specified period, the responsible employee must provide documents confirming the costs incurred for the task, and return the balance or, if there were no costs, return the entire amount in full. After the expiration of the time interval indicated in the order, the employee has no more than 3 days.
Issuance and return are executed by cash orders (expense and receipt).
The amount of one check or contract, act that the employee will pay cannot exceed the limit of 100 thousand rubles. Although the maximum amount of issued funds is not regulated in any way.
Wiring:
- Debit 71, Credit 50 - issue;
- Debit 26, Credit 71 - receiving an advance report from the person in charge;
- Debit 50, Credit 71 - return the balance to the cashier.
If the employee does not return the funds received or their balance:
- Money can be withheld from wages (only with the written consent of the employee - drawn up as a signature on familiarization with the order).
- By decision of the company's management, the debt can be forgiven, but in this case, personal income tax (clause 2 of article 415 of the Civil Code of the Russian Federation) should be withheld from the next payment in favor of the employee.
- All other situations are resolved only through the courts.
How to withdraw dividends from an LLC current account
A very important nuance for the accountant and the company's management - dividends are calculated based on the company's net profit, so it is virtually impossible to estimate their volume before the end of the reporting period. In order not to get a situation in which the actually paid amount exceeded the calculated one, it is best to make the accrual after the end of the reporting period (depending on the selected tax regime).
You cannot receive dividends if:
- The authorized capital has not been paid.
- There is an unpaid share to one or more members leaving the company.
- Net assets do not exceed the size of the authorized capital (including paid dividends).
- There are signs of bankruptcy.
Payment term - no later than 60 days from the date of the decision (unless otherwise specified in the charter).
Personal income tax is withheld from the amount (tax is paid no later than 1 day after the payment is made), which for 2019 is:
- 13% for residents;
- 15% for non-residents.
Postings:
- The IFTS submits a certificate and a report (quarterly, no later than 1 month after the reporting quarter, or at the end of the year).
- The relevant information is entered into the income tax return (sheet 03).
If a member of the company is an employee of the company:
- Debit 70, Credit 51 - direct transfer.
- Debit 70, Credit 68 - withholding personal income tax.
If the participant is not an employee:
- Debit 75, Credit 51 - direct transfer.
- Debit 75, Credit 68 - withholding personal income tax.
How to withdraw money from an LLC account in the form of a salary or bonus
The very first condition is that the founder must work for the company. That is, an employment contract must be concluded with him, in which the amount of wages will be spelled out.
From the point of view of any individual, this is the most correct and logical legitimate withdrawal of funds from any business:
- Income tax is paid (13% for residents).
- All due amounts are paid to the Pension Fund (the funded part of the pension is formed, and the higher the salary, the higher the pension will be) and the Mandatory Medical Insurance Fund. The total contributions are about 30% of the salary.
Things to remember when calculating salaries:
- If there is an employment contract, the employer cannot fail to pay wages. That is, it will not be possible to indicate a large amount in the contract, and then not pay it, regardless of whether your business is working in a plus or not.
- An alternative to "non-payment" of wages can be writing an application for unpaid leave.
- There is no upper limit for wages. There is not even a limitation on cash payments for legal entities ($ 1500).
- Wages cannot be lower than the minimum wage, taking into account regional coefficients (except for situations when the manager works part-time, for example, part-time).
- An organization cannot work for a long time without employees. In this case, even more questions from the IFTS will be caused by the presence of turnovers.
- The situation in which the only founder combines the position of director and at the same time is the only employee is very controversial (for example, the Ministry of Finance believes that he cannot pay his own salary, while the Ministry of Health and Social Development, on the contrary, believes that if there is an employment contract, then the salary and contributions must be paid). It is best to avoid it.
- Working with each employee, as a rule, is accompanied by a large number of nuances (this is compulsory leave and payment of vacation pay, accounting for the work schedule and development, a large number of local regulations - from an employment contract and additional agreements to it to instructions on occupational safety and accounting for briefings).
- Payment of funds must be carried out at least twice a month, with the obligatory observance of a gap not exceeding 15 days.
- For violation of payments (in case of delay or complete absence), material and administrative liability may be imposed on the manager.
Postings
Accounting for employee benefits is more difficult than anyone else. The number of the correspondent account will depend on the scope of the enterprise. And the timing of payments and other nuances - from the category of payments (vacation pay, advance payment, sick leave, etc.).
Typical wiring:
- Debit 44 (for a commercial enterprise, in other areas of activity there will be their own accounts), Credit 70 - accrual of salary.
- Debit 44 (or another account, depending on the scope of the enterprise), Credit 69 - accrual of insurance premiums.
- Debit 70, Credit 50 - payout from the cash desk.
- Debit 70, Credit 68 - withholding personal income tax.
- Debit 69, Credit 51 - payment of insurance premiums.
How to cash out money from an LLC account with travel expenses
Travel allowances can be paid only to those employees who work in the state.
The main interest is the daily allowance, the size of which is not limited in any way (determined by a local act at the enterprise). But personal income tax is paid from amounts that exceed the limits established by the Tax Code. Limits:
- when traveling in your country - up to $ 10 / day;
- when traveling abroad - up to $ 50 / day.
In addition to the daily subsistence allowance, the company must pay:
- travel expenses;
- salary for the period of a business trip (based on average earnings);
- other justified expenses.
If the expenses are not confirmed by the relevant documents (checks, contracts, invoices for payment, tickets for travel, etc.), and the funds issued in advance will not be returned, then the employer is obliged to pay personal income tax and contributions. They cannot reduce the taxable base.
The only exception is the cost of renting housing - without confirmation, only an amount exceeding the limit specified in the Tax Code is taxed.
Travel allowances are also accountable funds. Therefore, for their issuance, an order from the head is required, and upon return (no more than 3 days later), the employee submits an advance report and the remaining funds, if any.
Wiring example:
- Debit 44 (or another account depending on the scope of the enterprise), Credit 71 - accrual of travel expenses.
- Debit 71, Credit 50 - issuance of an advance amount of travel expenses in cash.
- Debit 44 (or another account depending on the scope of the enterprise), Credit 70 - payroll for the business trip.
- Debit 70, Credit 50 - issue of salary in cash.
- Debit 71, Credit 50 - additional payment for expenses incurred based on the results of the advance report.
Withdrawing funds from the settlement account of an LLC for issuing a loan
Legally, there are no restrictions on the amount, interest rate or repayment procedure for loans issued by legal entities to individuals. In this case, the recipient can be anyone:
- an employee
- founder,
- just a stranger.
- Confirmation is a contract signed by both parties.
An interest-free loan is also allowed. But there are a number of important points regarding rates:
- If the loan interest is below 2/3 of the current refinancing rate established by the Bank, then the borrower is obliged to pay personal income tax from the benefits received (, personal income tax in this case - 35% for residents, paid monthly).
- For loans in foreign currency, instead of the refinancing rate, a fixed percentage is set - 9%.
- If the borrower pays interest, then this is already income for the lender, that is, for the LLC.
All transactions of receipts and expenditures are necessarily carried out at the cash desk.
If the borrower is an employee of an LLC, then the company withholds personal income tax from the benefit on its own from the next payment to this employee. If the borrower is an unauthorized person, the organization submits a report to the IFTS.
Transactions when issuing a loan to an individual:
- Debit 58-3 (for loans with interest) or 76-3 (without interest), Credit 50 - cash withdrawal.
- Debit 76-3, Credit 91-1 - interest accrual.
- Debit 50, Credit 76-3 - interest payment.
- Debit 50, Credit 58-3 (with interest) or 76-3 (without interest) - cash repayment.
Illegal ways or cheated
When it comes to illegal cashing out of money from the settlement account of an LLC, then, as a rule, all such operations on securities look like legitimate, but in fact they are used for another purpose - tax evasion.
That is, for example, the manager gives an employee or even himself money for business expenses, carries out the issuance at the checkout, but in fact keeps the money for himself or spends it on his own needs. The situation is similar with payment for goods or services by bank transfer (from a corporate cash card), when the purchased goods or services actually have nothing to do with the interests of the company.
Some do the same with travel or hospitality expenses.
At the exit, the manager or founder (as the most interested persons, although any other employees can be in their place) receive funds without paying personal income tax.
It is quite simple to check the legality of transactions - there will be obvious problems with the reporting documentation.
There are other, equally popular ways to avoid taxes:
- A fictitious or dummy legal entity, and even more often - an individual entrepreneur, who, according to the law, has no problems with cashing out money from a business, because everything that an individual entrepreneur receives is his. Therefore:
- An individual entrepreneur concludes an agreement for the provision of fictitious services, for example, rental services for the premises belonging to him or the provision of management services. The options can be very diverse. As a result, the LLC can spend the costs of these services at the cash desk and can even reduce the taxable amount if the selected tax regime allows it. And the individual entrepreneur pays only 6% of income under the simplified taxation system and withdraws cash without any restrictions.
- Similarly, it can happen with another company, violent financial activities are carried out on paper (deliveries of goods are made, payment is received, etc.), but in fact the money goes to the needs of interested parties or one more, or maybe even several individual entrepreneurs.
- Fictitious loss / damage to goods. In fact, the goods are sold for cash without holding the received money at the checkout.
- Issuance of large loans to a manager, founder or dummy for long periods without interest (for example, over 10 years with subsequent “forgiveness”).
- Payment of large bonuses to the right employee on a far-fetched occasion.
- Sale / purchase of goods or services at a significantly inflated cost (the premium is divided between the parties to the collusion).
Liability for illegal withdrawal
The question of how to correctly cash out money from an LLC account is asked by many founders and managers. But in fact, the regulatory authorities are actively working to find violations. And the larger the amount of the transaction, the more interesting it becomes for employees of the Federal Tax Service Inspectorate or other government agencies.
If you involve your relative in money laundering, it will be easy to trace. If you buy goods for personal use with the money of the organization, it will also be easy to find out and prove.
Some schemes are more difficult to detect, but this does not mean that they are worth using. If proven guilty:
- A manager or other official may receive disqualification, a fine, or an administrative penalty. The worst outcome is criminal liability.
- The organization and all other participants in the cashing process will necessarily have to pay the taxes from which they tried to get away. Plus, fines for violation (Article 122 of the Tax Code) and a penalty for non-payment (Article 75 of the Tax Code) will be added to this amount.
The most likely options for criminal punishment:
| Act | Punishment |
|---|---|
| Tax avoidance | A fine of $ 1500 - $ 30000. Deprivation of liberty - up to 1-7 years |
| Forgery of documents | Deprivation of liberty - up to 4 years |
| Illegal business | A fine of up to 10000. Deprivation of liberty up to 5 years$ |
| Fraud | The fine is $ 1500 − $ 15000. Deprivation of liberty - up to 5 years |
The requirements of Articles of the Criminal Code also apply to accomplices, instigators and accomplices.
For the first violation the perpetrator can avoid criminal punishment if he compensates for all material damage caused.