Mobile Phone Contract - Personal/Company calls

**Craig@Clarity** · 6 January 2011, 22:13

If the company provides a mobile phone to its employee and the contract is in the company name, then it can be used for business and personal with no benefit in kind issues (tax or NIC issues) see HM Revenue & Customs: Telephones - mobile

However, if the company is to provide you with a "PDA" (Blackberry or iPhone) and the circumstance is the same above, there is no definitive guidance on what split is business and personal. The guidance only states that there is no BIK issues if the personal use if not "significant".

**escapeUK** · 7 January 2011, 16:24

Originally posted by firstcontractor View Post

I'm thinking of getting a contract (SIM Only), I am director of ltd company but I imagine a fair bit would be personal use too. I don't want to end up carrying two phones

So you are thinking about getting a £15 a month contract and worrying about claiming the tax back on that £15. Dont waste your time even thinking about it.

**northernladuk** · 7 January 2011, 16:35

Originally posted by escapeUK View Post

So you are thinking about getting a £15 a month contract and worrying about claiming the tax back on that £15. Dont waste your time even thinking about it.

Totally WHS.

You could even push the boat out to 25 quid and get a 2000 minute doozy from 3 (and whatever similar the others are doing) and not worry about the phone.

**prozak** · 7 January 2011, 16:52

Yeah this is small beans.....

I put my whole phone under my company even though I originally got it in my name.

I can easily prove I use it mostly for business. Most contact are business.

Even if hector ends up disagreeing you are only talking £50 difference to your pocket.

**Wanderer** · 8 January 2011, 01:30

Originally posted by prozak View Post

I put my whole phone under my company even though I originally got it in my name. I can easily prove I use it mostly for business. Most contact are business.

You don't need to prove anything. If it's in the company name then it's an allowable expense regardless of private use.

**smudger** · 8 March 2011, 10:25

Originally posted by Wanderer View Post

You don't need to prove anything. If it's in the company name then it's an allowable expense regardless of private use.

Does anyone know...

Can i just ring my mobile phone provider and change the name from myself to my company name or do I need a new contract?

**Wanderer** · 8 March 2011, 12:02

Originally posted by smudger View Post

Does anyone know...

Can i just ring my mobile phone provider and change the name from myself to my company name or do I need a new contract?

Welcome!

Really, you have to phone them and see what they say!

It probably depends on what sort of customer you are. They may not do it if you are still inside the 12/18/24 month contract you signed up for. Then again, if you are a big spender making a lot of business calls on the phone then they will want to retain your business so maybe they will make an exception. If you are a heavy user then point out that most of your calls are business related so if you can't transfer this contract to your company's name then you would like to have your PAC code please (with the implicit threat that you will switch providers or get another phone for business)

As for contracts, I tend to buy an unsubsidised phone using the company's credit card and then get a SIM only tariff on a 30 day contract in the company name - there are some really good deals for SIM only out there.

Watch that they don't go wanting you to pay extra for a so called "business" tariff, sometimes they cost more than a personal one which wipes out any advantage obtained by claiming back the 20% or so tax on the cost of the business phone.

**smudger** · 8 March 2011, 12:41

Originally posted by Wanderer View Post

Welcome!

Many thanks Wanderer for taking the time to reply.

Mobile Phone Contract - Personal/Company calls