Mobile phone and Broadband

**Clare@InTouch** · 21 February 2011, 08:42

I wouldn't suggest it as HMRC will view it as a personal expense - you'd get a phone line anyway, so it's not wholly and exclusively for business purposes. If you had a second line that was entirely business related then it would be OK to claim for that part.

You could claim a portion of the broadband if you're using extra because of your business.

**pmeswani** · 21 February 2011, 08:55

Originally posted by Clare@InTouch View Post

I wouldn't suggest it as HMRC will view it as a personal expense - you'd get a phone line anyway, so it's not wholly and exclusively for business purposes. If you had a second line that was entirely business related then it would be OK to claim for that part.

You could claim a portion of the broadband if you're using extra because of your business.

Silly question then. If you already have a phone line and broadband connection (which has mixed use), could you not then get it changed to be a part of the business? If not, then I won't be looking to change my Broadband or Phone Line to go through the business in that case.

**Clare@InTouch** · 21 February 2011, 09:32

You could have a second line fitted and claim that, but if you already have a line and swap it over to business you'd have a difficult time trying to justify it's all business related.

**blacjac** · 21 February 2011, 13:09

My accountant advised to put my phone & broadband through the company. Then pay the company a nominal fee each month to cover personal usage.

**SueEllen** · 21 February 2011, 13:16

Originally posted by kellycell View Post

Hello,

I am moving to a new flat and was wondering if I can get the whole amount that I will be paying for my line rental and broadband expensed by my limited company. If that is the case, do I register with say BT with my company name?

Already been answered by more than one person.

Originally posted by kellycell View Post

Also I am buying a Blackberry -contract-. Again do I get this under my personal name or my company name?

Blackberry is not equal to a mobile phone in HMRC eyes so put it under the company name.

**kellycell** · 22 February 2011, 00:34

Originally posted by blacjac View Post

My accountant advised to put my phone & broadband through the company. Then pay the company a nominal fee each month to cover personal usage.

So the name in the phone line and BB account would be your company's name? Clever accountant! Would you mind messaging me the details of your accountant? I am looking to change.

**Clare@InTouch** · 22 February 2011, 08:32

I would suggest having a read through the HMRC guidance before making a final decision:

"Normally, no deduction should be permitted for any part of the rental or standing charge for a telephone installed at the employee's home. The case of Lucas v Cattell (48TC353) provides authority for not allowing a deduction for telephone line rental. This is because the telephone line can be used for both business and private calls and so no part of the line rental is exclusively incurred in performing the duties of the employment, see EIM31660. "

Other expenses: telephone charges

HM Revenue & Customs: Telephones - employee's home phone

EIM21615 - Particular benefits: supplies and services provided other than on the employer's premises: employer subscribes for telephone line in the employee's home

**kellycell** · 22 February 2011, 09:32

Originally posted by Clare@InTouch View Post

I would suggest having a read through the HMRC guidance before making a final decision:

"Normally, no deduction should be permitted for any part of the rental or standing charge for a telephone installed at the employee's home. The case of Lucas v Cattell (48TC353) provides authority for not allowing a deduction for telephone line rental. This is because the telephone line can be used for both business and private calls and so no part of the line rental is exclusively incurred in performing the duties of the employment, see EIM31660. "

Other expenses: telephone charges

HM Revenue & Customs: Telephones - employee's home phone

EIM21615 - Particular benefits: supplies and services provided other than on the employer's premises: employer subscribes for telephone line in the employee's home

Thanks Clare,
How about the Blackberry, can the contract be in my company’s name?
Also, would I be paying my company an amount each month for the use of the phone line and broadband?

**blacjac** · 22 February 2011, 09:52

Originally posted by kellycell View Post

So the name in the phone line and BB account would be your company's name? Clever accountant! Would you mind messaging me the details of your accountant? I am looking to change.

Not sure they are that clever (see Claire's response) and I really wouldn't feel comfortable in 'reccomending' them as over the last 12 months their services and advice have gone drastically downhill, to such an extent that I will be leaving them after my companies year end.

Unfortunately - should their advice regards to this prove to be incorrect (as Claire seems to imply), I am stuck with a 2 year BT business contract that I don't need and would have to buy out of.

Mobile phone and Broadband