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I think a SatNav is really pushing your luck too far. I wouldn't fancy defending it on wholly, exclusively or necessarily for the purposes of the trade, let alone all three.
You could buy it through the company and put the personal element on your P11D but for the amount of tax involved, I personally wouldn't bother. In fact I actually did buy a SatNav and didn't bother and I normally claim everything.
i bought my sat nav about 2 and a bit years ago. It was the NavMan 510i. At the time i was with Parasol and put that through my expenses with no problem.
They are a lot cheaper now but make sure you get a good one that allows you to amend your settings so not to send you through small villiages or farm tracks.
i am all very new to contracting...looking to buy a tom tom one for £149, as i travel a lot!!
When you say business expense does that mean £149 is taken from the tax i am putting to one side? thus its free??? (sorry is that a dumb question? )
pay for it with company credit card, then you pay no tax at all on the £149, which saves you about 25%
ie if you pay personally you would normally have to earn £187 and pay tax on that before you could buy at £149
I think a SatNav is really pushing your luck too far. I wouldn't fancy defending it on wholly, exclusively or necessarily for the purposes of the trade, let alone all three.
You could buy it through the company and put the personal element on your P11D but for the amount of tax involved, I personally wouldn't bother. In fact I actually did buy a SatNav and didn't bother and I normally claim everything.
I put mine through and would defend it all day long should it be queried.
I only use it for business so that satisifes wholly and exclusively and it is for the purpose of trade as it allows me to be on time at a new clients premises at the most optimum use of my time to get there and most importantly, on time.
For the amount of tax involved not to bother?
So you pay £176.25 say (£150.00) plus VAT instead of £120.00 (Vat reclaimed and tax deduction)??
Expenses such as these add up. Providing legitamate, no one should be afraid to put them through their business on the fear of them being challenged.
I put mine through and would defend it all day long should it be queried.
I only use it for business so that satisifes wholly and exclusively and it is for the purpose of trade as it allows me to be on time at a new clients premises at the most optimum use of my time to get there and most importantly, on time.
For the amount of tax involved not to bother?
So you pay £176.25 say (£150.00) plus VAT instead of £120.00 (Vat reclaimed and tax deduction)??
Expenses such as these add up. Providing legitamate, no one should be afraid to put them through their business on the fear of them being challenged.
OK then so playing devil's advocate, if you are going on a personal trip and don't know the way, are you honestly telling me you wouldn't use it? I doubt a jury would believe that.
And if they did, how can it possibly be "necessary"? People used to find their way to places before SatNav was invented. And now you have the alternative of using Multimap or some similar directions website.
I think this is one of those occasions where tax legislation and fairness do not coincide. It would be fair to claim it but you simply wouldn't win your case if you had to defend it at the Commissioners.
OK then so playing devil's advocate, if you are going on a personal trip and don't know the way, are you honestly telling me you wouldn't use it? I doubt a jury would believe that.
And if they did, how can it possibly be "necessary"? People used to find their way to places before SatNav was invented. And now you have the alternative of using Multimap or some similar directions website.
I think this is one of those occasions where tax legislation and fairness do not coincide. It would be fair to claim it but you simply wouldn't win your case if you had to defend it at the Commissioners.
On a persoanl trip I dont even have it in the car, I rely on directions from the AA. If I get lost or trun up late in my personal life that means incovenience or rudeness, and that I can take, if I get lost and turn up late for business then that is a poor reflection and I will do everything I can to avoid that happening.
As for neccessary, people used to do lots of things before inventions, I would defend it as neccessary as protect a professional image.
And it wouldnt go as far as the Commissioners anyway, if it got pulled up youd argue you case, either win or lose and if you had to then hand back the readies saved.
I can understand your caution but I would never recommend not to put a legitamate expense through for fear of having to justify it.
On a persoanl trip I dont even have it in the car, I rely on directions from the AA. If I get lost or trun up late in my personal life that means incovenience or rudeness, and that I can take, if I get lost and turn up late for business then that is a poor reflection and I will do everything I can to avoid that happening.
As for neccessary, people used to do lots of things before inventions, I would defend it as neccessary as protect a professional image.
And it wouldnt go as far as the Commissioners anyway, if it got pulled up youd argue you case, either win or lose and if you had to then hand back the readies saved.
I can understand your caution but I would never recommend not to put a legitamate expense through for fear of having to justify it.
No I certainly wouldn't recommend not putting through a legitimate expense for fear of having to justify it.
In this case however, it would only be legitimate if you took the very odd decision of not using a SatNav personally because you don't mind being late/getting lost in your own time.
Even if this were true, I don't think anyone would believe it.
Re the necessary test, caselaw precedent shows this to be a very onerous one and again I don't think your argument would hold water.
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