That is the question so often heard when an accountant is preparing a client's business accounts. There are classic 'grey area' expenses as well as the detail behind new legislation to contend with in the quest for the solution. Researching the problem is time-consuming and stressful.
This is where A-Z of Business Tax Deductions, 2nd edition steps in. It has been compiled to provide clarity in areas where there is doubt. It examines the deductibility for tax purposes of particular expenses incurred by sole traders, partnerships and limited liability partnerships. The A-Z format allows the reader to navigate to the relevant topic. Each section contains a listing of relevant cases, HMRC guidance and legislative references so that the legal principles that lie behind the issue can be considered. Extra commentary is provided in instances where a clear 'yes or no' answer to the deductibility question simply does not exist.
A-Z of Business Tax Deductions, 2nd edition has been thoroughly revised and updated to reflect the major legislative changes brought in by recent Finance Acts including Finance Act 2018, as well as recently issued HMRC guidance and relevant new cases.
Key updates include: - Loan interest relief restriction for residential property businesses - Qualifying conditions for using cash basis accounts - New cases on subsistence and travel claims - Adjustments on change of accounting basis - Trading and property allowances
Read an extract of A-Z of Business Tax Deductions
Table of Contents
Preface Table of cases Table of statutes Table of statutory instruments List of examples List of abbreviations Part A: General principles 1 Generally accepted accounting practice 2 Cash basis for unincorporated businesses 3 Capital or revenue expenditure 4 “Wholly and exclusively” 5 Property rental businesses Part B: Business deductions B1 Adjustments on a change of accounting basis B2 Advertising and sponsorship B3 Bad and doubtful debts B4 Car hire B5 Charitable gifts B6 Compensation and damages B7 Counselling and re-training B8 Crime-related payments B9 Defalcations or fraud by employees B10 Depreciation and loss on disposal of fixed assets B11 Dilapidations (leases) B12 Employer deductions for employee benefits B13 Entertainment B14 Ex-gratia payments B15 Fines B16 Fixed rate deductions B17 Foreign exchange losses B18 Franchise payments B19 Gifts to customers B20 Goodwill and know-how B21 Guarantee payments B22 Herd basis B23 Hire purchase B24 Incidental costs of obtaining loan finance B25 Insurance B26 Interest on overdue tax and penalties B27 Keyman insurance B28 Lease premiums B29 Lease rental payments B30 Legal and professional costs B31 Loan and overdraft interest B32 Management charges B33 Mileage allowances B34 Patent rights and expenses B35 Pensions B36 Political expenditure B37 Post-cessation expenses B38 Pre-trading expenditure B39 Provisions B40 Quotas B41 Removal expenses B42 Remuneration B43 Rent and rates B44 Repairs and renewals B45 Restrictive undertakings B46 Royalties B47 Security B48 Software B49 Staff welfare costs B50 Subsistence B51 Tax (foreign) B52 Trade subscriptions B53 Trade tools B54 Trading and property allowance B55 Trading stock and work in progress B56 Training courses and examination fees B57 Travel expenses B58 Unremittable amounts B59 Use of home as office B60 VAT B61 Wayleaves B62 Wear and tear B63 Websites Appendix – Case summaries Index