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Email from accountant
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Thanks for your call earlier.
I cannot find any information that relates specifically to this matter however for all expenses, they must meet the wholly, exclusively and necessary for the business rule. Although you have paid for a full year subscription but are also closing the company, it wouldn’t meet this rule as the business is no longer trading. We can apportion the expense for you however just want to make you aware that it is at your own risk and that you would be responsible in justifying this to HMRC should they ever decide to investigate the company. If you would like to proceed on this basis, please let us know.
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Can anyone help me in proving this is incorrect please?
If you can show that you had no intention or knowledge that the company would close then surely it is allowable. If you knew that it was closing and still bought an annual policy then it really isn't wholly in the need of the business
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