Should I claim my mobile phone ?

[Martin at NixonWilliams]

I am a sole trader and I have the name of my business down as my full name, and my mobile is in my full name. So I assume I can claim based on this?

The rules differ slightly for sole traders.

If you wish to claim for the costs of a mobile phone that is also used privately you should only claim for the portion relating to business calls.

If you have a seperate mobile phone that is used for the business only (i.e. no private use) this should be ok to claim in full.

I hope this helps.

Martin

[EBTContractor]

The rules differ slightly for sole traders.

If you wish to claim for the costs of a mobile phone that is also used privately you should only claim for the portion relating to business calls.

If you have a seperate mobile phone that is used for the business only (i.e. no private use) this should be ok to claim in full.

I hope this helps.

Martin

Thanks Martin, this makes sense. There is also a separate tab on the SA where you can state which portion is for personal use so I will work out the approx. percentage business and personal use.

And I guess the same is valid for an Oyster card? I have a monthly pass that I use for personal travel on the weekends.

Any other things I can claim? The rules are not black and white, only really for clothing which you can't claim unless it has your name on it.

[northernladuk]

Any other things I can claim? The rules are not black and white, only really for clothing which you can't claim unless it has your name on it.

Try reading the link on the right called Contractor Expenses, use the search or google it. Plenty of detailed guides on the web. I think Nixons and SJD have comprehensive guides on their sites.

[Scrag Meister]

I have recently transferred my mobile phone bill and number to my company and the DD is paid from my company account.

[Scruff]

I have had a "bad" year for mobile phones - in the past 19 years, I have only ever lost / damaged 1 phone.

Nexus 4 - purchased by Myco. March 2013. Lost it within 5 days (left it in remote Datacentre), so, went back to my Galaxy S2, which I proceeded to drop, and a replacement screen cost £90 (paid for by MyCo.). This was followed a week later by water damage (dropped on golf course) - another £70 (paid for by me).

Just before Crimbo, the microphone and volume buttons stopped working on Galaxy S2, so MyCo purchased Nexus 5 handset (£348.99).

I have 2 GiffGaff Sims, plus an Ovivo (Vodaphone) - 1 GiffGaff is my Phone SIM and the other one alternates with the Ovivo SIM as my Data SIM (I need to alternate them in MyCo's MiFi, since signal is patchy, depending on location (various IBM locations and Datacentres). These are all paid for by MyCo.

Nexus 4 - £288.99 one off (Order & Invoice to MyCo.)
Galaxy S2 repair - £90.00 - paid cash from MyCo.
Nexus 5 - £348.99 one off (Order & Invoice to MyCo.)
GiffGaff 1 - £12 pm (PAYG GoodyBag - direct debit to MyCo.)
GiffGaff 2 - £10 pm (PAYG GoodyBag - direct debit to MyCo.)
OVIVO - £20 one off

(I used to have a 3 SIM, £10.88 pm paid for by MyCo, which got replaced by OVIVO, since 3's coverage at my home was not the greatest).

When I travel abroad (for longer than a week), I purchase 2 PAYG SIMs paid for by MyCo. and use them for Calls and Data (in MiFi) connectivity, paid for by MyCo. (over 2 months last year). This means that I require a 2nd handset (I use a 10 year old Sony Ericcson - battery lasts nearly a week).

Personally, I can't see the issue with any of the above, since they are all legitimate and I have needed them all in order to maintain connectivity and provide continuous service.

[Martin at NixonWilliams]

Thanks Martin, this makes sense. There is also a separate tab on the SA where you can state which portion is for personal use so I will work out the approx. percentage business and personal use.

And I guess the same is valid for an Oyster card? I have a monthly pass that I use for personal travel on the weekends.

Any other things I can claim? The rules are not black and white, only really for clothing which you can't claim unless it has your name on it.

Sorry for the delay.

Yes, the same applies with an Oyster card, only the business trips can be claimed whether you are a sole trader or ltd. It is reasonably easy to identify the business trips from an itemised statement.

I couldn't tell you what can and can't be claimed without knowing your business and its needs however here are some of the more common expenses I can think of (excluding capital expenditure):

- Cost of goods, materials etc.
- Travel to/from temporary workplaces
- Wages/subcontractor costs
- Bank charges
- Telephone/internet
- Accountancy costs
- Insurance
- Interest on any loans taken out for the business
- Printing, postage and stationery
- Rent, rates etc. for business premises
- Home as office
- Advertising

A good accountant will be able to advise you on expenses that can be claimed for your business.

I hope this helps.

Martin

[kevpuk]

I have just stuck with MyCo buying the handset(s).....I pay for SIM etc. myself.
MyCo bought an HTC One in April last year, and - following a lengthy Director's Meeting Discussion Conflab Vote - MyCo has now purchased a Galaxy Note 3 as a replacement. Still deliberating best course of action with the HTC One....likely follow the 'honest route' and sell, with VAT invoice, to recycler/CEX/GAME/some random and MyCo can recoup some funds.....

Of course, this is all for legitimate business reasons and nothing to do with obsessive-upgraditis

[mikedarv]

My accountant advised that if I was just expensing the handset and no calls by using a personal sim it might be seen as a private asset?

Just seen a cheap business sim that's better than my current personal one so might go for that anyway. Could I just count this as expenditure rather than expenses?

[TheCyclingProgrammer]

My accountant advised that if I was just expensing the handset and no calls by using a personal sim it might be seen as a private asset?

No idea how he came to that conclusion. If the invoice was in the company name and the company paid for it, then it's a company asset and companies can provide one phone to each employee.

Choosing as an employee to put a personal SIM in it to save YourCo money is just good business.

[Kess]

I have just stuck with MyCo buying the handset(s).....I pay for SIM etc. myself.

I'm thinking of doing the same. I'd be interested to hear the view of Martin at NW, if he's still watching this thread.