What You Can Claim As Business Expenses – Land Line Phones

 
 

Read below to learn why?

Self-Employed and Partnerships

  1. If you work from home and use your home phone for business use, then you are allowed to claim the proportion of the calls that are made on behalf of the business.  You cannot claim any of the line rental as it is deemed by HM Revenue and Customs that this would be a cost incurred by you even if you were not in business, and therefore, is not “wholly and exclusively for business purposes”.   VAT considerations: you can claim back the VAT on the proportion of the phone bill that is for business calls.
  2. If you have a dedicated business phone line installed, either at home or at separate premises, then your business can claim for the whole of the bill, and claim all of the VAT back.

Limited Companies

  1. If you work from home and use your home phone for business use, then you are allowed to claim the proportion of the calls that are made on behalf of the business.  You cannot claim any of the line rental as it is deemed by HM Revenue and Customs that this would be a cost incurred by you even if you were not in business, and therefore, is not “wholly and exclusively for business purposes”.  VAT considerations: you cannot claim back any of the VAT as the bill will be made out to you personally and not the Limited Company.
  2. If you have a dedicated business phone line installed, either at home or at separate premises, then your business can claim for the whole of the bill, and claim all of the VAT back, as the bill will be made out to the company.

What You Can Claim As Business Expenses main page.

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