Individual has 2 ltd companies. 50/50 control in one and 100% in other. Materials purchased by 50/50 company. Entered through books of 50/50. Paid direct by 100% company. Invoice raised by 50/50 for total amount. Invoice states total paid direct to supplier by 100% company. VAT is accounted for by 50/50 from suppliers invoice and invoice stating direct payment by 100% owned. No money ever changes between companies and nothing ever shows in the bank. Same person prepares accounts for both companies. No mark up is taken by the 50/50 company Is this OK?
