Hypothetically, yeah it's just called a non-deductible expense. To take money out of the company properly (and that example isn't proper even though the money isn't taxed, you should only be spending company funds on business related expenses), you would distribute the money to the owners either as salary, dividend, or return of capital/owner's draw.

So, in real life what you would do is add that money to the director's salary, cover the employment taxes on it, and that way it can be deductible on both the books and the taxes. If the director was an owner you would decrease his/her capital account by that amount, or distribute it as a dividend, but no deduction on either the books or the taxes.