Self-Employed Expenses – What can I claim?
If you’re self-employed, your business will have various running costs. You can deduct some of these costs to work out your taxable profit as long as they’re allowable expenses as per HM Revenue and Customs rules.
Your taxable profit is your turnover minus your allowable expenses. You only pay tax on any profit made.
Costs you can claim as allowable expenses
- office costs, for example stationery or phone bills
- travel costs, for example fuel, parking, train or bus fares
- clothing expenses, for example uniforms
- staff costs, for example salaries or subcontractor costs
- things you buy to sell on, for example stock or raw materials
- financial costs, for example insurance or bank charges
- costs of your business premises, for example heating, lighting, business rates
- advertising or marketing, for example website costs
- training courses related to your business, for example refresher courses
- costs associated with working from home
You can also claim capital allowances when you buy something you keep to use in your business, for example:
- business vehicles, for example cars, vans, lorries
If you use something for both business and personal reasons
You can only claim allowable expenses for the business costs, for example only the business calls costs from your total phone bill.
How to claim
This is done via your annual Self-Assessment Tax Return.
You do not need to send in proof of expenses but you should keep proof and records so you can show them to HM Revenue and Customs (HMRC) if asked.
MATCH is working hard to keep on top of all the latest news and government support so, as always, feel free to get in touch if you have any queries and we’ll be happy to help.
MATCH Accounting Limited