There may be some expenses you incur while working through your business - the idea is that if an expense is wholly and exclusively for business purposes then it is allowable against income. There are some expenses which may not be clear or require further clarification; we are always happy to help our clients if they are unsure of what they can claim against their income.
Traveling: Purchase of food while working from your usual office is an allowable expense if you stop by a café for lunch. The purchase of groceries to make sandwiches to take with you is not allowable. You can also claim on the mileage used while traveling to this one-off location. If you have to stay overnight for work purposes you can add the accommodation costs to the expenses.
Motor: You can either claim a work percentage on the actual motor costs of a vehicle, or you can opt to claim the mileage at 45p per mile up to 10,000 miles, and 25p per mile thereafter. You cannot do a combination of the two.
Office Supplies: If you use a laptop for business purposes, then accessories you buy such as USB cables or extra power packs can be claimed on these. If you send out flyers and/or post then you can also include the cost of paper and envelopes. Of course, any computer software used for work is allowable; this could be your monthly bookkeeping subscription, or your annual payment for anti-virus software.
Advertising: When a person thinks of advertising, they may only consider the distribution of flyers or the decal for the van with the business information. These are allowable. Having the business name embroidered onto clothing is also allowable and classed as an advertising expense.
Use of Home as Office: HMRC have a basic rate you can claim in your annual accounts for using your home for business use. The rate is £18 per month; a total of £216 each year.