07429 386274
[email protected]
www.accountingbookkeeping.co.uk
Make it count
Your quarterly newsletter from Accounting & Bookkeeping Consultancy Ltd
Welcome!
Welcome to our summer edition. While others
are perfecting their beach bodies, we hone in on
getting your business accounts back on track and
in control by the end of summer!
On page 1, we encourage you to scrutinise the
expenses you are claiming as a company, before
providing a refresher on basic business finances on
page 2. Page 3 focuses on the implications of how
you withdraw money from your limited company
with the changes in S455 tax, as well as reminding
all businesses how simple VAT checks can be
beneficial in the long run.
On page 4 is a reminder of the first stage of the
HMRC Making Tax Digital project going live for VAT in April 2019.
Please get in touch using the contact details on page 1 or 4 for any queries on your
specific circumstances.
And finally, please say hello to Kerys (pictured) who has joined us this month as Client
Services Administrator. Angela Ashton
Summer 2018
INSIDE
TALK THE TALK
Understanding terminology and jargon
ISAS ADAPT TO THRIVE
Changes to ISA rules
PAYBACK TIME
Know the rules on director loans
NO ROOM FOR ERROR
It pays to check your VAT return carefully
GETTING THE BEST RETURN
Your guide to the new digital tax system
To claim or not to claim?
Looking at your company expenses in detail is an investment in reducing your tax bill
Are you claiming everything you
could be as a limited company, or
are your personal and business
expenses in a bit of a muddle?
Any costs that are wholly and exclusively related
to running your business can be used to reduce
your profit and therefore your corporation tax bill.
So, if you think through your typical day, what
could you be claiming? You turn up at the business
premises for which you pay rent, council tax and
utilities – these can all be claimed. If you work from
home instead of business premises, you can claim
a proportion of your household costs.
You answer the phone for which the line rental
and business-related call charges can be claimed
– and in addition, if you register your mobile
phone in the company name and use it solely for
business, that too could be claimed. If the mobile
is in your own name, you would have to split the
business and personal use.
Next you have a meeting about your latest
marketing campaign. You can claim the costs of
the consultant and any costs of schemes that they
recommend from email to telemarketing, to social
media ad placements to websites, as long as they
are solely for business purposes.
When you get to lunchtime, you can only claim
your lunch if you are outside of your permanent
workplace as well as the associated travel costs
of getting there, through mileage costs or
public transport. This doesn’t include ordinary
commuting though!
After lunch it’s training time and you attend a
course essential to your job, which can be classed
as a business expense along with your ongoing
professional subscriptions.
You’ve had a busy day and daydream about
reaching retirement… but have you taken
advantage of the £40,000 a year that can be
paid into your pension scheme by your limited
company, reducing your corporation tax bill at the
same time?
It’s also time to think about your annual staff
party for which you can claim up to £150 per
employee.
There are many other costs to consider from
childcare, bank fees and company cars. Make sure
you challenge your costs with your accountant
to ensure that you are not missing anything that
could make a difference!