Im setting up my own business, what expenses can i claim back and how?
Answers:
Really, the best thing is to open a separate business bank account and put all your business income and expenditure throguh that, then you will know where you are.
Register with HMRc within 3 mths of starting and you will be sent a self assessment after 5 April next year on which to show your accounts figures. HMRC will help you if you ask!
You don't claim back expenses, they are just exempt from tax. Keep all your receipts for anything that can be classed as business related purchases. then when you do your tax return the amount that these total up to are taken from your gross profit before you are taxed. You can get away with putting some household stuff on their too if you can justify why it was used for work. Also, don't forget to ask for VAT receipts for your petrol. Keep a business mileage book as you can claim 40p per mile in the UK, just make sure that you are insured for business use or you'll get done!
Good luck with your new venture :)
If you cannot source that information how good are you going to be at business?? Jerk!
Firstly, and most importantly, you need to get yourself a good accountant.
Secondly, if you are setting up a limited company, you can claim back all sorts of expenses, even some of your utilities and rent/mortgage if you run your business from home.
Typically, you can claim for the following:
Travel for business purposes on trains, buses, tubes, taxis, flights, and if you own a car you can claim 40p per mile for each mile you do on business purposes.
Subsistence allowance, if you are required to work on a client site over periods which cover lunch or dinner, and have to buy yourself lunch or dinner.
Computer equipment and printers etc.
Stationery items such as paper, pens, ink cartridges, business cards, letterhead, envelopes, with compliments slips etc etc.
Postage costs.
Entertainment allowance, that is if you take clients out for meals (not your own entertainment!).
Telephones (landline and mobile) if they are used for business purposes.
If you run your business from home you can claim some of your household expenses, such as heating, electricity, gas, and some of the rent or mortgage payments.
This is by no means an exhaustive list. As I said, first you need to get yourself a good accountant, and they will give you all the items which can be claimed.
Good luck with your business!
The answers post by the user, for information only, BAnswer.com does not guarantee the right.
More Related Questions and Answers...