18/04/2023
Confused about what qualifies as an allowable expense for your Self Assessment? 🤔
Well, lets have a little sneak peak:
🥂Client entertainment? Nope! HMRC do not allow the entertaining of customers or suppliers for tax purposes, BUT you can entertain your staff, as long as it's £150 per person or less. So hello Christmas party
📢Advertising? Yep! And this includes donations made to local charities where they print your business name etc. So let's get giving and reduce our tax in the process
💰Fines? Mmm.. kind of? Look if you've got a fine from HMRC the obvious answer is no. But if you receive a private fine (I'm looking at you, Tesco's car park) then yes, that's fine (pun 100% intended)
🎁Gifts? Yes, if they're to your employees, but client gifts are ONLY allowable if they also promote your business. It's a 2 birds 1 stone kinda vibe.
👩⚖️Legal and Professional Fees? No if it's for capital purchases (but congrats on your new warehouse) but yes if they are in the day to day running of the business, like say I dunno you hire a super cool bookkeeper who maintains your accounts and becomes your best friend in the process
AND don't forget you can claim expenses from up to 7 years before you started trading (assuming you can find those receipts) ✨
As always, if this is too much to take on hire a professional and pop back next time for more tips
