Shareholder's loan: Can I borrow Money from my business ?

[pejmanndc]

Can I borrow money from my business without impacting my personal income (for tax filing purpose). If so, how long do I have to return the loan (I understand you can not take another loan to pay off an older loan), so i mean real repayment., Thanks

[Delphision · Accepted solution]

If you have a corporation, and you are using the shareholder loan to pay for personal items, you must issue yourself a T5 for income to put your shareholder loan back into a credit position. You can owe your company back the money for a year, but then CRA wants it paid.  It tends to wave a flag under the nose of CRA.