self employed joinery. what can I claim against my tax?

17
Found 23rd Mar 2015
ive been self employed since start of January keeping me books fine but I just wondered what I can claim against for my tax. I really would like to know how much I can claim back on tools workwear and if there is anything else I should keep for records. thankyou in advance

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Speak to your accountant, a good one will be able to guide you on everything.
Go to woodworkuk and they will help you.
Claim on everything. Everyone else seems to.
Claim on everything such as your milage, mobile phone, spare room as an office, meals out as a business lunch any tools you buy also you can claim back against your van.
Tax relief on anything you use for your business.
Clothes, tools, camera for recording work, laptop, iPad when you're out and about, mobile phone calls, mileage.
Edited by: "willhay555" 23rd Mar 2015
Be careful on claiming tax relief and heating on a spare room.
Speak to an accountant.

but, anything that is work related can generally be tax deductible. Items that a part work and part personal, such as your land line / mobile etc should be apportioned between business and private.

Be careful with claiming for an office as there can be potential Capital Gains Tax implications when you come to sell your house (if that's where the office is situated). HMRC website gives pointers.

All capital goods such as expensive long lasting tools, your VAN etc will generate capital allowances which are basically tax deductions. Special rules would apply to a car that was business related.

Mileage can be claimed depending on what vehicle you are using.

There are a fair few bits and bobs to consider and it would be well worth your while speaking to an accountant.

RabS1

Claim on everything such as your milage, mobile phone, spare room as an … Claim on everything such as your milage, mobile phone, spare room as an office, meals out as a business lunch any tools you buy also you can claim back against your van.



Don't just put personal meals out as a business lunch it would be tax evasion / fraud. And anyway if you are keen on committing fraud, might as well make it massive rather than a few pounds saved each year on meals.
I was looking at doing my own tax online. basically I already am a full time joiner but am self employed evenings and weekends to bring in some much needed extra cash. I spoke to an accountant and she said I have to be vat registered to claim a percentage of tools and cloths back but that didnt sound right which is why im here. il have a look over on that website above you mentioned.
tovtm

I was looking at doing my own tax online. basically I already am a full … I was looking at doing my own tax online. basically I already am a full time joiner but am self employed evenings and weekends to bring in some much needed extra cash. I spoke to an accountant and she said I have to be vat registered to claim a percentage of tools and cloths back but that didnt sound right which is why im here. il have a look over on that website above you mentioned.



I don't know what she means about the VAT registration. Did she not say you had to be registered for self assessment?

VAT registration should not be relevant to claiming business expenses as a tax deductible expense.
this is what she messaged me back " If you were vat registered you could claim back 1 sixth (vat is 20%) of the gross. If you aren't registered, you won't be able to claim any at all."

unless I am reading this wrong
As others have said, I would get an accountant to assist you with what you can and cant claim.
Like in your business, if someone isn't happy with the service being provided, they go elsewhere. I would seek another accountant.
think your accountant is right, you're just talking about different things. If you're vat registered than you can claim back that vat for anything bought by the business.
As you're not, you can charge yourself/company for the cost of the tools etc and that means the cost of them is not being paid for out of your wages from the company (which would be after taxes and nic contributions).
So look at this way.
Pay for tools yourself = full cost from your own pocket (which you paid yourself including some tax/nic)
Charge the items to the business = full cost paid by business, but no tax/nic
Charge the items to the business (if vat registered) = same as above, but with vat removed

you're asking her about claiming tax back, when really, I think, what you're asking us is what is a valid business expense. There's no tax to claim back in that case. Just a slight saving on wages.
tapi

think your accountant is right, you're just talking about different … think your accountant is right, you're just talking about different things. If you're vat registered than you can claim back that vat for anything bought by the business.As you're not, you can charge yourself/company for the cost of the tools etc and that means the cost of them is not being paid for out of your wages from the company (which would be after taxes and nic contributions).So look at this way.Pay for tools yourself = full cost from your own pocket (which you paid yourself including some tax/nic)Charge the items to the business = full cost paid by business, but no tax/nicCharge the items to the business (if vat registered) = same as above, but with vat removedyou're asking her about claiming tax back, when really, I think, what you're asking us is what is a valid business expense. There's no tax to claim back in that case. Just a slight saving on wages.



Think its self employed rather than a company set up. Not saying your wrong but Im having trouble following your post. Although at the end of the day the OP should try to speak to an accountant, for £3-£500 a year you'd get some piece of mine and hopefully.
if you go on hmrc site, there will be a help sheet on completing self employment. that will tell you what you can claim.

Comment

ibblackberry1

Don't just put personal meals out as a business lunch it would be tax … Don't just put personal meals out as a business lunch it would be tax evasion / fraud. And anyway if you are keen on committing fraud, might as well make it massive rather than a few pounds saved each year on meals.

If the very people that run this country can claim all these expenses and get away with it then why can't the people they are meant to serve not do it too. Who care if the op claims a few meals back on tax they ought to care more about the lot that pay nothing
mutley1

if you go on hmrc site, there will be a help sheet on completing self … if you go on hmrc site, there will be a help sheet on completing self employment. that will tell you what you can claim.



This is the best advice so far, also you're not technically claiming anything back, what you will be doing is listing all your business expenses (tools, stationery for invoices, any advertising costs, business cards, telephone calls, etc) and then that total can be deducted from your annual income so that you won't be liable for paying tax that expenditure.
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