As advisors we are often asked various questions relating to business accounts and taxation, this question comes up quite alot .

Many small businesses know the basics of general bookkeeping, however, some entering self-employment for the first time may need some guidance.

For this reason, we have decided to compile a short list of allowable expenses in a business.

  1. Mobile phone bills.
  2. Use of home allowance. (working from home)
  3. Advertising & marketing.
  4. Mileage (45p per mile up to 10000 miles 25p per mile above 10000 miles)
  5. Car insurance fuel and running costs. (Not allowable if claiming mileage)
  6. Premises rents.
  7. IT Expenses (e.g software)
  8. Legal fees.
  9. Bank charges (business account)
  10. Stationary costs/office equipment.
  11. All materials.
  12. Work wear costs.
  13. Training costs.
  14. Cleaning.
  15. Postage costs.
  16. Business insurance (public liability)
  17. Parking costs.
  18. Costs associated with fitting out use of room in personal residence
  19. Accounting and bookkeeping fees.

These are just a few of the basics depending on the nature of your profession. We recommend you seek professional advice relating to tax issues such as Annual investment allowances, capital allowances etc. There are various tax savings available to small businesses if you know how to apply them.