Common Limited Company Expenses

A List of the most common Limited Company Expenses:

• Company formation costs, although not allowable for Corporation Tax (CT) as it’s a capital cost.
• Salaries
• Employers national insurance contributions (NIC)
• Executive pension contributions via an approved scheme
• relevant training course
• Subsistence costs while away from workplace, although cannot claim after 24 months for the same ‘temporary workplace’
• Accommodation costs when away from normal place of business, although it cannot exceed 24 months as a ‘temporary workplace’
• Travel & Parking costs, if using own vehicle then 45p per mile for the first 10,000 miles and 25p per mile thereafter & 20p per mile for bicycles.
• Hire purchase agreements in the name of the company
• Company Car expenses although got to be careful with the benefit in kind charges for private use of the vehicle
• Capital Allowances
• Business Insurance
• Telephone, Broadband & Mobile phone bills are all allowable if the contracts are in the company name.
• Computer equipment’s and software’s
• Advertising and marketing expenses
• Bank charges
• Stationery, postage and printing costs.
• Professional subscriptions, books and business magazines
• Professional fees such as accounting or legal costs.
• Annual private health check for employees
• An eye test for employees who use computers
• Home office costs, this can be either a flat rate of £4 per week allowed by HMRC or worked by a portion of the household bills
• Business gifts of to £50 per individual are allowed
• Incidental overnight expenses of £5 per night and £10 if oversea can be claimed as a flat rate when working away from home.
• Christmas Part for directors and employees of £150 per person per year and this could include partner or spouse.

​These are some of the expenses that are allowable for a limited company, if you have any questions or require more information please contact us on ​​​[email protected].