Blog.
Accounts made easy.
Expenses to claim if you are self employed.
The rule of thumb is "Wholly and Exclusively for Business Use".
If you have purchased an item for either resale or materials for your trade then you can generally claim that back.
For Example:
You are a hair stylist... you purchase a hair colour and peroxide that costs you £40.
That £40 can be off-set against your income.
You offer mobile services... your mobile phone bill can be used to offset your income. Only the business use can be offset against income. However the personal percentage can be removed from the claim. So if you mobile phone bill costs you £100 per year and you use that phone for 50% business use then £50 can be claimed as business expense.
Examples of Expenses;
- Materials/Cost of Sales
- Utilities
- Rent
- Telephone and Broadband
- Premises repairs and maintenance
- Stationary and Postage
- Tools
- Workwear
- Travel Cost
Bear in mind that all business purchases will require a receipt to reclaim. You can find out more in out Keeping business records blog.
