Company Paying Membership Fees

[malvolio]

I am confused by the following statement:


If I am reading this correctly, PCG are your accountant, but are not your accountant?

It's not difficult (even Wanderer has worked it out). One Stop is a service offered by PCG to start up contractors, that packages an accountant, assorted insurances, PCG membership and some other odds and sods. It doesn't mean they do the accounting work.

[Wanderer]

That's PCG One Stop, a complete package of accountancy, insurance and membership aimed a simplifying getting started as a contractor. I kind of assumed tht you were talking about standard membership... Yes it is claimable

Ahh, that's good news and sorry for the initial misunderstanding my brain is a little frazzled at the moment.

I guess that if it came down to it, I could claim for the insurance and accountancy portions (which is the bulk of the amount) and leave out the membership fee. I'll find out when the year end accounts are done in the next month or so.

[pmeswani]

That's PCG One Stop, a complete package of accountancy, insurance and membership aimed a simplifying getting started as a contractor. The accountancy obviously has a cost, as does the insurance. That's a slightly different thing to "PCG membership". I kind of assumed tht you were talking about standard membership...

Yes it is claimable, and the fees as far as I know can be offset against CT since the memebrshiop is effectively free with that package. But since the fee includes accountancy support, why not ask the accountant?

I am confused by the following statement:

• Meetings and correspondence with your accountant

If I am reading this correctly, PCG are your accountant, but are not your accountant?

[malvolio]

Sorry to be vague, here's the link to the PCG. So they offer a membership which comes with insurance cover and accountancy services.

I don't understand malvolio's comment that "PCG membership doesn't include either."

So is that claimable?

That's PCG One Stop, a complete package of accountancy, insurance and membership aimed a simplifying getting started as a contractor. The accountancy obviously has a cost, as does the insurance. That's a slightly different thing to "PCG membership". I kind of assumed tht you were talking about standard membership...

Yes it is claimable, and the fees as far as I know can be offset against CT since the memebrshiop is effectively free with that package. But since the fee includes accountancy support, why not ask the accountant?

[Wanderer]

Sorry to be vague, here's the link to the PCG. So they offer a membership which comes with insurance cover and accountancy services.

I don't understand malvolio's comment that "PCG membership doesn't include either."

So is that claimable?

[pmeswani]

What am I paying them 2 grand a year for then?

I have no idea.

[Wanderer]

PCG membership doesn't include either.

PCG insures itself for the cost of representing its members, and they don't do accounting services, they only try to ensure that accountants fully understand the oddities of the one-man band contractor.

What am I paying them 2 grand a year for then?

[malvolio]

What if the PCG membership includes insurance and accountancy?

PCG membership doesn't include either.

PCG insures itself for the cost of representing its members, and they don't do accounting services, they only try to ensure that accountants fully understand the oddities of the one-man band contractor.

There is a long legal story (it goes back to a case in 1910...) about why the PCG subs aren't allowable for CT relief, but it centres on PCG not wanting to give HMRC a full and detailed list of its members. Can't imagine why not...

[pmeswani]

What if the PCG membership includes insurance and accountancy?

Sadly, it doesn't make a difference.

[Wanderer]

PCG fees can be paid, but the expense can NOT be used against the company's tax liability.

What if the PCG membership includes insurance and accountancy?

[FarmerPalmer]

PCG fees can be paid, but the expense can NOT be used against the company's tax liability.

BCS fees can be paid, and free of tax:

HM Revenue & Customs: Subscriptions and professional fees

and here is the listed of approved bodies (for tax free membership):

http://www.hmrc.gov.uk/list3/list3.pdf

[Waldorf]

My accountant old me that my company can pay the pcg fees, although they are not allowed for tax! So I think he explained it that I would pay corporation tax on the pcg fees. I don't know about BCS?

[SimonMac]

Basically can my Ltd pay for my professional membership fees to PCG & BCS etc or if this classed as BIK?