EXPENSES

EXPENSES

Most contractors find that they incur some expenses before their limited company has been formed or a company bank account opened. In this case, it is possible to claim pre-incorporation expenses such as company formation expenses, equipment costs, travel costs, marketing costs, accountants fees etc, however,it’s important that contractors keep a record of all invoices and receipts in order to substantiate their claim.

• Travelling costs

Travel expenses include the actual costs of travel that are incurred as part of making a journey, while the employee is at a temporary workplace. Subsistence

• Meal Allowance

This includes any necessary subsistence costs incurred while at a temporary workplace away from your normal place of business as well as meals taken when staying away from home overnight for business.

• Accommodation

Where overnight stay is needed; the cost of the accommodation (hotel, bed and breakfast charges) as well as any additional meals taken are deemed to be a valid business expense. However you need to make sure that the costs are genuinely attributable to the business travel and not attributable to something else.

• Books and Magazines Subscriptions

Where these are related to your business and contract work.

• Insurances

Such as professional indemnity insurance and business asset contents insurances.

• Pensions

Provided that the pensions are paid by the company to a HMRC approved scheme, there are a lot of tax benefits.

• Telephone and Internet

Used for business purposes.

• Professional Fees to Accountants

For incorporating the company, preparing yearly accounts and other running costs.

• Marketing and website costs

Such as those incurred for domain purchasing, website hosting and design, design and printing of business cards and stationery etc.

• Computer and other equipment costs

Purchased for business use.

• Entertainment costs

Reasonable entertainment costs can be recorded as costs to the business, however they are not tax deductible.

• Research costs

Reasonable research costs incurred in course of research work are also tax deductible.

• Use of home allowance

If you work from home then you are entitled to additional expense reimbursements, however, this is a tricky area and varies from case to case.

• Cars (under company name)

Company cars ceased to be tax efficient as tax is charged on the level of the car’s CO2 emissions, having said that some cars remain tax efficient and can be bought through the company.

Please bear in mind that contractors must keep a meticulous record of all receipts and invoices as HMRC might challenge any suspect costs.

HOW DOES IT WORK (WHAT’S INCLUDED)

• Advice on all available expenses
• Management of expenses
• Deal with HMRC on your behalf
• Ensure correct paperwork is filed, therefore avoiding fines
• Keeping your taxes as low as possible
• Advice on tax efficiency

BENEFITS OF OUR COMPANY FORMATION SERVICES

Benefits of using AIMS Business Partners are;

• Specialist advice on contractors working in public sectors
• Optimal salary structure
• Optimal profit extraction structure
• Free online portal
• Advice on company’s assets and benefits (cars, insurances and subscriptions)
• In-depthexpense/allowance system
• Expert guidance throughout the process
• Liaising with your Agency on initial contract (IR35 manual review)
• Extensive mid-term and long-term planning
• Business and tax advice
• Work with our specialist Chartered Accountants
• Complex tax issues expertise
• Efficient and in-depth examination of your accounts

WHAT NEXT

We have made it so simple

Initial Meeting (Call us, Meet us, E-mail us)

With our initial discussion, we assess your requirements and have a good idea of your Tax, Compliance & Payroll needs, we also provide you with our advice or a second thought on your ideas.

We can talk through all the available options suiting your business needs

Available Options

Once you are happy with the options and decided what best for you, for example, our business growth package, management reporting, credit control services. We agree on the frequency of reporting and deliverables. And then get sthe system set-up and ready for you.

On Hand Support

That’s all about it and you are now up and running. We spend time with you to make sure that we make it as simple as possible, we do not deviate from your existing system and apply our change management strategies to ensure everyone in your team is on board.

This starts the era of our ongoing support and business growth research, therefore, you get the best from our services.

Timeframe

The whole process should not take longer than a week, in some cases, we are happy to commence work from the very next day!

Switching to us:

We can understand the pain of switching a supplier, however, it is not at all like the switching a broadband supplier. In case have an existing accountant, our support process, will make it seamless. You offer a big thank to your previous accountants and we collect all the information on your behalf.

Get in touch:

Contact either Awais – awais@accountancymanagers.co.uk or Tania – tania@accountancymanagers.co.uk and we will arrange to chat to you first, send you more information on our services and set up an introductory free consultation.

During this consultation, we will apply our work principles, identify structure, growth opportunities, provide

Our guarantees:

We guarantee;

1. We’ll complete your work within the set deadlines as agreed in our meeting
2. We’ll save your taxes
3. Improve your wealth

For further details, please contact us.