Should I claim my mobile phone ?

[MPwannadecentincome]

I dont bother. Its too much hassle getting the contract in company name.

Also, you get a better deal as a personal contract rather than a business one which cancels out the 20% CT saving in most cases. Unless of course, you spend loads on business calls etc.

For me, £30 a month personal contract and never going over call allowance was better than getting a business contract for more.

I guess it depends on which network - I just phoned up Orange and I they happily switched my direct debit over to the new company bank account on the same personal tariff no questions asked.

[TheFaQQer]

I guess it depends on which network - I just phoned up Orange and I they happily switched my direct debit over to the new company bank account on the same personal tariff no questions asked.

Did you ask them to switch to a business tariff in the company name as well? Just changing the source of payment doesn't make it a contract with the business, it just means that the company is paying for the full line rental and personal calls on a personal tariff, which should then go on your P11D

[MPwannadecentincome]

Did you ask them to switch to a business tariff in the company name as well? Just changing the source of payment doesn't make it a contract with the business, it just means that the company is paying for the full line rental and personal calls on a personal tariff, which should then go on your P11D

The invoice will come addressed to the company - isn't that enough? What has the tariff got to do with it?

I did expect them to actually tell me "oh you need to go on a business tariff" but they didn't!

[northernladuk]

The invoice will come addressed to the company - isn't that enough? What has the tariff got to do with it?

I did expect them to actually tell me "oh you need to go on a business tariff" but they didn't!

Because it looks like the business is paying for your personal phone?

I am presuming the contract is still in your name? All they have switched over is the payment details. If that is the case it isn't a company phone.

[MPwannadecentincome]

Because it looks like the business is paying for your personal phone?

if the invoice comes addressed to the company then how does it look like that? Are you saying HMRC will go and check - "oh look you don't have a business tariff so here's a tax bill"?

I am presuming the contract is still in your name? All they have switched over is the payment details. If that is the case it isn't a company phone.

OK, I will have to phone them up again and see if they changed the name, next bill is in 2 weeks time so I have time to correct it - thanks for advice.

[TheFaQQer]

The invoice will come addressed to the company - isn't that enough? What has the tariff got to do with it?

I did expect them to actually tell me "oh you need to go on a business tariff" but they didn't!

The invoice should be addressed to the account holder, not the name on the bank account?

If the account isn't in the name of the business, then it's a personal account that the business is paying for.

[northernladuk]

if the invoice comes addressed to the company then how does it look like that? Are you saying HMRC will go and check - "oh look you don't have a business tariff so here's a tax bill"?

Exactly this. They will then go through every orifice you have looking for more issues. If they believe you have done it fraudulently they look back for the last, what is it, 6-10 years examining every line of ever entry. That is worth the 20% saving on a phone bill?

OK, I will have to phone them up again and see if they changed the name, next bill is in 2 weeks time so I have time to correct it - thanks for advice.

You have to change the contract not the name. Vodafone won't do it but someone on here in the past said one of the other providers did. There are different T&C's so would be surprised if they are willing to swap but you might fall lucky.

[Wanderer]

The invoice will come addressed to the company - isn't that enough? What has the tariff got to do with it?

All that matters is that the bill is invoiced to the company and the company pays it. End of story. Ref: HMRC guidance on mobile phones.

[MPwannadecentincome]

All that matters is that the bill is invoiced to the company and the company pays it. End of story. Ref: HMRC guidance on mobile phones.

OK I read that and did not see it the same way as you particularly the bit which said "The contract is between you and the mobile phone operator." where "you" refers to the employer.

[Wanderer]

OK I read that and did not see it the same way as you particularly the bit which said "The contract is between you and the mobile phone operator." where "you" refers to the employer.

OK so contractors are generally the director of the company and we are both employer and employee which is a bit confusing.

So just replace the word "you" or employer in HMRC's guidance with "the LTD company" and see if that makes more sense.