Tax - Expenses

Recently added Tips & Advice

EXPENSES - 21.10.2020

The tax-free benefits of business travel

Handling your employees’ travel expenses claims is time consuming and the tax and NI requirements can be tricky. The good news is that the process can be simplified by paying flat rate tax-exempt allowances. What are they?
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CAPITAL ALLOWANCES - 21.10.2020

Capital or revenue expenditure - the tribunal decides

The First-tier Tribunal (FTT) recently ruled on a case involving one of HMRC’s favourite battlegrounds; whether an expense was capital or revenue. What was the outcome and why might it be significant for your business?
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TAX - 21.10.2020

Tax efficiency when creating a workspace at home

After working from home during lockdown you want to make the arrangement permanent. If your company pays the cost of setting up a proper home office, what are the tax consequences for you and it?
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PROFIT EXTRACTION - 19.10.2020

Benefit in kind or a distribution?

You’re the shareholder of a company which you’re closing down. It has a small amount of cash in the bank and a van. Is it more tax efficient to sell the van before the company is wound up or transfer it to yourself and sell it privately?
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VANS - 06.10.2020

Double cab pick-up could be a “car”

HMRC v Coca-Cola (GB) Ltd is a long running case centred on the definition of a company van. This matters because company cars are taxed more heavily than company vans that can be used privately. The case concerns double cab pick-ups that have a second row of seats behind the driver. The Court of Appeal has now determined that multi-purpose vehicles capable of carrying goods and people are more akin to cars than vans and therefore will be taxed as cars. The vehicles in question in this case were a first or second generation VW Transporter T5 Kombi and a Vauxhall Vivaro. ...
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TAX - DIRECTORS’ LOANS - 01.10.2020

Do the rules for directors’ loans apply?

Q. One of our employees was recently made a director of our company. Shortly before she was appointed the company lent her £20,000 which she’s repaying over three years. As she’s now a director does the special corporation tax charge for company loans to directors apply? ...
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Tax - Expenses

Most read Tips & Advice

EXPENSES - 08.09.2020

How far must you go to get a (tax) free meal?

During the lockdown our subscriber worked from home and was often involved in long online meetings with customers and staff. To save time and allow him to have more meetings he bought in food. Can he claim a tax deduction for the cost?
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EXPENSES - 22.09.2020

Is the cost of travelling to a board meeting tax exempt?

Two directors of our subscriber’s company live over 100 miles from its head office. As they are required to attend board meetings there, can the company reimburse or pay their travel and accommodation expenses tax and NI free?
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CARS - 22.09.2020

Advisory fuel rates updated

New rates. HMRC has updated its advisory fuel rates (AFRs) for company cars from 1 September 2020. The old rates (shown in brackets in the table below) can be used until 30 September 2020. To avoid a car fuel benefit charge, employers and employees can compensate each other at the appropriate AFR for the cost of fuel paid for by the other. Because of variation in fuel prices across the UK you may prefer to work out your own fuel rates. HMRC will accept these as long as they are reasonable. ...
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