I’m wondering how to tag a purchase made on behalf of a director/employee which was in a non-GBP currency, and the reimbursement was made in a non-GBP currency. I have already set up an expenses account for this person in the non-GBP currency because they have expenses to rebill to a client, so I tagged the transaction where they reimbursed the company as bank transfer with their expenses account - not sure if that was right or not though, probably not as it was a loan from the company to this person. Can I tag the purchase made on behalf of the person as a purchase, or is it something else because it wasn’t for the company? I presume that it’s technically some sort of benefit in kind, though the reimbursement was only a few days later.
Thanks for the explanation and link. I had read that before posting but still wasn’t sure. I could well be overcomplicating this, but I just want to check because what’s happened is not as described on your knowledge-base page - this is not out-of-pocket expenses by the employee which the company must reimburse, it is the other way around - essentially I suppose the company has made a loan to the employee because the company paid on behalf of the employee and then the employee reimbursed the company later. Does this make it different or is the process the same? Do I raise a purchase for it, or not because the purchase wasn’t for the company? Do I tag the expense as what it was actually for, or do I tag it to an expenses/loan account?
Like I said, I’m probably overcomplicating it!
Cheers
