SatNav and Laptop....business expenses? question.
Discussion
Can a satnav, used only for visiting new clients (2/3 times a week) be purchased by my company for my use? Delivery drivers get them (i assume) so why not field sales people (and similar) or would sticking it in my private car be regarded as very different from a delivery van? (i run a private car to avoid BIK tax)
Also - replacing a company laptop soon and the old one is worth next to nothing, almost easier to bin than sell. But.....it would do for my kids, do i need to "buy it" from my company or can i bin it as a Director then find it in the bin after work!
Will ask my accountant but its a Saturday and i'm intrigued now!
Also - replacing a company laptop soon and the old one is worth next to nothing, almost easier to bin than sell. But.....it would do for my kids, do i need to "buy it" from my company or can i bin it as a Director then find it in the bin after work!
Will ask my accountant but its a Saturday and i'm intrigued now!
Tiggsy said:
Can a satnav, used only for visiting new clients (2/3 times a week) be purchased by my company for my use? Delivery drivers get them (i assume) so why not field sales people (and similar) or would sticking it in my private car be regarded as very different from a delivery van? (i run a private car to avoid BIK tax)
Also - replacing a company laptop soon and the old one is worth next to nothing, almost easier to bin than sell. But.....it would do for my kids, do i need to "buy it" from my company or can i bin it as a Director then find it in the bin after work!
Will ask my accountant but its a Saturday and i'm intrigued now!
You'll have to pay the company the book value for the laptop.Also - replacing a company laptop soon and the old one is worth next to nothing, almost easier to bin than sell. But.....it would do for my kids, do i need to "buy it" from my company or can i bin it as a Director then find it in the bin after work!
Will ask my accountant but its a Saturday and i'm intrigued now!
No problems with the sat-nav provided you can convince HMRC that it's wholly and exclusively for business
You don't physically need to "pay" the company any cash for the old laptop. Just put through the necessary journals to remove it from the company balance sheet - where it no doubt is shown in the accounts.
Debit Directors Cirrant account with the Net Book Value of the laptop
Credit the Fixed Asset account in the balance sheet with the Net Book Value of the laptop.
In the tax computation, you will need to credit the plant and machiner pool with the market value of the lap as it was on the date of the disposl. This could very well be almost (if not exactly) Nil.
Debit Directors Cirrant account with the Net Book Value of the laptop
Credit the Fixed Asset account in the balance sheet with the Net Book Value of the laptop.
In the tax computation, you will need to credit the plant and machiner pool with the market value of the lap as it was on the date of the disposl. This could very well be almost (if not exactly) Nil.
Eric Mc said:
It's only a piece of equipment. The same rul;es apply whether it's stanav or a computer.
Yes, but - for example - i couldnt buy a mont blanc to sign my clients letters with (i assume ???!!!) so i wondered if HMRC would say you could do the job with map...same as you can sign the letter with a Bic?Tiggsy said:
Eric Mc said:
It's only a piece of equipment. The same rul;es apply whether it's stanav or a computer.
Yes, but - for example - i couldnt buy a mont blanc to sign my clients letters with (i assume ???!!!) so i wondered if HMRC would say you could do the job with map...same as you can sign the letter with a Bic?Simpo Two said:
A Mont Blanc is a fountain pen (well it was last time I looked!)
As a wedding photogrpaher I have to find my way to many addresses without fail every year, so a £90 TomTom made perfect sense - it's not a toy or luxury item, it's for work.
Thanks. As a wedding photogrpaher I have to find my way to many addresses without fail every year, so a £90 TomTom made perfect sense - it's not a toy or luxury item, it's for work.
Edited by Simpo Two on Sunday 7th March 09:44
A pen is a pen. If a business choses to buy an expensive pen over a "normal" pen, that's the business' business. Obviously, depending on tghe business' accounting policies, they may feel that it is necessary to capitalise equipment expenditure over a certain amount and claim Capital Allowances on it rather than just write it off as "repairs" or "stationery".
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