Claiming cost on business calls on home phone

[xoggoth]

I see my latest tax code has been reduced due to claim of phone expenses for my tiny s/w company but then what on earth is this about?

http://www.hmrc.gov.uk/manuals/bimmanual/bim47820.htm

Telephone
The cost of business calls is allowable. Also allow a proportion of the line rental (based on the ratio of business use to total use). This proportion should reflect all aspects of use, including incoming calls, though in most cases reference to itemised outgoing calls will provide a reasonable and acceptable measure.

It's a very small amount but then the profit from the company is very small too.

Cheers for any answers.

[Bob Jones]

we can discuss this also..

Bob

[Grinder]

It sounds like the payment of your home phone bill has been declared as a benefit in kind, but then not claimed back on a p11d.

[Little'Old Me]

It sounds like the payment of your home phone bill has been declared as a benefit in kind, but then not claimed back on a p11d.

Yes as Grinder says, it seems to have been declared as a benefit in kind - but this is by it being entered on a P11d, by who ever does your company payroll.

You have 2 choices -

1. Complete a tax return and re-claim the expenses as allowable
or
2. Complete a P87 - form for the Tax relief for expenses of employment for employees who don't complete a tax return.