What to claim for / benifts

[malvolio]

But just to be really pedantic, you can claim anything your like. The real question is whether or not a BIK has arisen, which is a point that may have escaped the OP.

Still, when he's read the guides he may have some better questions...

[TimCaprica]

oops

Hi Tim

I'm not trying to be pedantic here but incorporation costs and genuine entertaining costs can be put through the business.

They do not attract corporation tax relief (which may be the point you were alluding to) but it is still beneficial to put these through compared to paying them personally out of taxed income.

You can also claim up to £150 per head per employee/partners for annual events as others have said.

Martin

Well that wasn't a successful post by me, I shall take a lot more time in the future!
I agree with all the corrections made.

Thanks everybody.

[northernladuk]

Well that wasn't a successful post by me, I shall take a lot more time in the future!
I agree with all the corrections made.

Thanks everybody.

As unhelpful as it seems this is why we (or I at least) tell them to go research it. It is just to big and complicated to put in one post and if you spoon feed them the answer they will be back with a million more questions.

[Wanderer]

Hi, I'm new to contracting so please bare with me. I have set up my own ltd company and was wondering except for the normal expenses that I can claim back, what other benefits can I claim get whilst running my own business.

There are lots of guides from accountants out there. Some of the ones which may be useful to you:

Contractor UK (The link on the right, along with a first timers guide)

Also is there any benefit putting my wife down as a partner of the company. I see from other posts within the forum that other people do but its not to clear as to why ?

If you are outside IR35 then you can pay yourself a wage of £7000 to stay below the threshold for PAYE/NI and the rest becomes company profits. These profits are taxed at 20% and then paid out to the shareholders with no further tax to pay unless you are a higher rate tax payer.

If your company is going to generate enough income to push you into the higher rate tax bracket (~£43k/year) and your spouse has a small or no income then you can make your spouse a shareholder and split the income between you. This allows you to both use your tax allowances without going into the higher rate tax bracket and you avoid paying tax.

You need specialist advice from an accountant before doing this, it doesn't cost much to get an accountant engaged (you WILL need one for the end of year accounts anyway so get one now) and you will potentially save thousands if you set your company up correctly. If you try and do it yourself and bodge it then it may cost you thousands....