Recording start-up costs paid from personal account before LTD company formation (UK)

It's good to see you posting here in the Community space, @BW93.

I'm here to help you record the start-up costs paid from your personal account and claim VAT on them.

You can accomplish this by creating a journal entry and adding VAT from there. If you haven't switched on the VAT option yet, follow the instructions in this article: Set up and use the VAT feature in QuickBooks Online.

Once done setting up the VAT feature, here's how to record a Journal entry:

1. In the left menu, click the + New button.
2. Select Journal entry.
3. On the first line, select the expense account for the purchase.
4. Enter the purchase amount in the Debits column.
5. Set the VAT on the VAT column.
6. On the second line, select Partner's equity or Owner's equity.
7. Enter the same purchase amount in the Credits column.
8. Set the VAT on the VAT column.
9. Select Save and close.

If you're uncertain about the VAT code to use, I recommend speaking with your accountant.

For more information on handling business expenses paid with personal funds, check out this article: Pay for business expenses with personal funds.

If you want to pay personal expenses with a company account in the future, here's an article you can read: Pay for personal expenses from a business credit card or bank account.

Please leave a message if there's anything else you need. We're always here to lend a hand. Have a great day!