Tax Deductions for Small Businesses

Every business is a little bit different so not ever top tip and solution will work for your business but there are a variety of potential tax deductions that small businesses can take advantage of in their day to day finances.

At Momentum Bookkeeping, our goal is to make running your business easier. Whether it’s getting paid by your customers on time, completing your VAT returns or processing payroll; the demands on businesses can seem endless. So tips like these can from time to time help shine some light on things that you my simply not have had time to think about in the past.

Things like…

Your car

If you are a sole trader or small business, you may be able to claim a proportion of your vehicles day to day running costs. This can include the fuel you use, car insurance, road tax and even accident damage.

There is also the potential to claim capital allowance on the vehicle however this capital allowance has to be restricted to business use.

Your home

If you are what is often called a ‘Kitchen Table Sole Trader’ then you are a business that works from home. Owners of small businesses can claim an appropriate proportion of their household bills as a business expense. This can include things like heating and lighting, council tax and internet.

Your travel

If you need to travel for work then that travel and the related subsistence costs are fully allowable as business expenses. How much you spend and how you travel is entirely up to you.

Your phone

We all depend on our phones so much these days so the cost of business calls on your home or mobile can be claimed as business expenses.

Your office

If your workspace at home is a separate room, you can claim business expenses for the decorating of the space for things like painting and decorating.

Your staff parties

If you employee staff, you can deduct the cost of staff parties from your business expenses. There are limits to the spend per person so maybe hold off on making it an open bar

Find out more

On a rather wet and windy March 2008, we established the company ‘Glasgow Bookkeepers Ltd’ which, over the years, has steadily grown from dealing exclusively with like minded kitchen table sole traders into a city wide bookkeeping service renowned for it’s skill and expertise. That growth created an opportunity and a need to expand beyond the boundaries of Scotland’s largest city. Hence the creation of Momentum Bookkeeping.

Covering the full range of bookkeeping services that the typical business would require, Momentum Bookkeeping goes a step further by offering not just what you expect, but what you need (even if you didn’t know you need it).

From VAT returns and payroll services to custom built MySQL databases as part of our Bespoke Services; from a once a year service (such as annual accounts) to a daily interaction service into your business; we can be as integrated with your business as you want us to be.

You do the real work, we do the paperwork