Can a Director invoice their own company for services provided?

Directors of Limited Companies have a similar legal status as Employees of the company (officially they are Office Holders). The strong assumption by HMRC is therefore that payments to Directors comes by virtue of their position and should therefore be taxed under PAYE.

For certain payments for the fulfilment of duties of the position of Director would need to be paid via PAYE.

There are however exceptions E.g. if a Director carries on a separate trade to the trade of the company and provides these services to other companies, then they could provide this service to the company on a self employed basis.

These arrangements are likely to attract attention if HMRC open an inquiry and it is generally agreed across the accounting profession to keep such arrangements to a minimum.