Reimbursement of expenses/asset purchases

[Mindomoo]

Well in my case....

"...but why isn't YourCo buying it's own equipment and consumables, rather than raiding your money and filling up your credit limit?? "

It is because I get lots of nice airmiles on my CC and myco does not.

So I do all company purchases on my credit card and re-imburse myself.

[xoggoth]

The strict distinctions between company and private for tax purposes are with current expenditure. Strictly speaking, that has to be either business or private; you cannot apportion.

With capital expenditure like computers etc the distinction is less important. Even if you have purchased on a personal credit card you can still have the company reimburse you if it is something genuinely used fulltime for company business. (However, to claim VAT now, the receipt has to be in company's name).

You can also claim, via capital allowances, for company use of personal equipment. You will find the method on the IR website.

Agree with above comments, always best to keep company/private purchases separate and pay for company stuff from company account when possible.

[malvolio]

Haven't really thought it through then!

I understand your problem, but it's a trade off of convenience factors. Personally, I take the view that if you're in IT for a living, then the tools to practice it would seem to be a fairly obvious business expense.

As for broadband, you need it for your job (don't you? hint: YES). Since it is there, you can have for personal use at no penalty, since Hector treats it , like mobile phones and PCs, as something where occasional personal use does not constitute a BIK.

Do you have an accountant BTW - they should understand and be able to advise properly on all these sorts of questions.

[aztec]

Silly answer to Dumb question

I just couldn't be bothered carrying another piece of plastic and taxing my brains to remember 4 numbers. These days my wallet seems to have no money only cards, CC's, debits, company account, library, office...,driving license...and my wife now hung a little key clubcard thing on my keys.
Also I first bought an iBook, dumped it(cos it froze on me one morning), then bought a powerbook, and then had to buy a PC for the family(my little one found it difficult to get used to navigating on the powerbook). So was not sure which one to put thru the company. Can I put both the Mac and PC, PC for my use and lend the Mac to my CoSec wife for company and personal use? I don't mind paying a little tax/NI on her use of the PC if I can get my company to pay for the PC. Incidentally, I also have the broadband wireless network et al and was wondering how I would apportion personal/company use for them. I mainly work at client sites.

have fun,

[malvolio]

Dumb question...

...but why isn't YourCo buying it's own equipment and consumables, rather than raiding your money and filling up your credit limit??

Company debit card is a lot easier to manage and cuts out all that expense claiming rubbish - one of the reasons I'm not a permie is I hated all the form filling and receipt passing I had to do!

[Mailman]

Yes...bang them in to your system and reimburse yourself.

[waves magic jedi hands] everything will be ok [/wave jedi hands]

Regards

Mailman

[aztec]

Hi,

I purchased some basic computer equipment(comp, printer..) for my ltd company 2-3 months ago and paid using my credit card. Some of the purchases were on ebay too. I have been lazy and haven't put in a claim through my company for reimbursement( just faced with the huge credit card bill and have been jolted). I have all the receipts and some of them are pre 6th April.My company year ends August end. Is it Ok to claim reimbursement of business expenses for pre 6th April stuff now. I also bought the peripherals before buying the actual computer for the business( I used them on my old personal computer). I am on flat rate VAT so no problems about VAT.
Similarly for other consumables..paper,pins..etc I bought never claimed from ltd co.can i just paymyself some money now £50-100 towards these costs now without receipts for all of them, just some of them.
I need to extract some money from the business before year end.

Thanks for any replies.