Claiming cost of mobile phone etc

[Friday Blue]

I just went onto handtec to get myself one of those sim-free handset then get a pay as you go sim card. both went through expenses. I always carry my own mobile (on contract) and the company one, so the company one is purely for business uses. (and because it is such a small company anyway, pay-as-you-go seems to fit better)


[ok ok, the reality is that, I keep the old mobile with the pay-as-you-go sim and kept it in the car, while i take the brand new handset with my own contracted sim on me =D ]

[rrp]

I am currently going through the process with Vodafone.

I have the mobile being paid from the company bank account as a business tariff, but it is currently still in my name. It is taking a fare amount of effort to get this changed to the company name, probably in the region of 2 months. Hoping I am on the last hurdle now.

They really only want paperwork with sort code, account # and company name on it. But their response to things is very slow (hence the 2 months!!!)

[psychocandy]

From Nixon Williams expenses guide:

Ah. Definitely cant be arsed then to change it over for the last three months.

Just be getting new contract in business name.

[wurzel]

If the company name is on the bill and the bill is paid out of the company account then the job's a good 'un innit. Your name being on the bill is just for your company's reference so you know who is using the mobile phone.

From Nixon Williams expenses guide:

The provision of one mobile phone is exempt from any tax charge and does not need to be declared on the P11d each year....

...To qualify, the contract must be in the name of the company and paid from the company bank account.

If you cannot obtain the contract in the company name but do pay for it from the company account then this may still be free of a tax charge (it does have to be declared on the P11d each year). However, you would have to prove to HMRC, if investigated, that the contract was taken out to be 'wholly and excusively' for business use and that there were no personal calls made on the phone.

[northernladuk]

If the company name is on the bill and the bill is paid out of the company account then the job's a good 'un innit. Your name being on the bill is just for your company's reference so you know who is using the mobile phone.

I don't believe this is true. Having a correspondence name i.e. your company means the phone is still registered to you. There is a difference between having company name on the bill and who the phone is registered to.

[topper]

T-Mobile were brilliant, rang up, emailed through a copy of my Certificate of Incorporation, 1 week later all done!

[Wanderer]

They also tried to palm me off with saying that they'd stick my company name on all bills, correspondence etc but I think I'm right in saying that this wouldn't stand up to any scrutiny from the taxman. The actual contract itself has to be in the company name.

If the company name is on the bill and the bill is paid out of the company account then the job's a good 'un innit. Your name being on the bill is just for your company's reference so you know who is using the mobile phone.

[northernladuk]

Vodafone just send you are form to fill in and a new DD. Sorted. Was 4 years ago though so might have changed but they didn't question the personal/business issue. Also I was spending a lot with them at the time.

[wurzel]

Yes, I went through exactly the same thing with 02 - company credit checks etc only for them to come back and tell me that it wasn't possible to transfer to a business account - i.e. I was stuck with my personal contract until it ended.

They also tried to palm me off with saying that they'd stick my company name on all bills, correspondence etc but I think I'm right in saying that this wouldn't stand up to any scrutiny from the taxman. The actual contract itself has to be in the company name.

Wait for your contract to run out and get a new one in the name of your Ltd.

PS - I also did had the cashback thing. Right pain in the ass that was too - had to fire off a letter every 3 months with photocopies of all my bills for the period just to get the money back.

[psychocandy]

Currently just finished a cashback deal (you know the one where you send in bills to get cashback etc). Couldnt change the name on the bill because it would invalidate this. OK, so last cashback cheque recieved. 6 months left on contract.

OK. So knowing that the phone bill has got to be in company name to claim as an expense, thought might as well switch it now.

Not made easy by Orange. Cant just change name on bill apparently. Gotta transfer to business account, credit check ltd company, pay DD from company account etc. = too much hassle to save 20% CT on £30 a month for 6 months.

Anyone else had this grief? Surely there's an easier way?