Your presence in the Community is highly valued, Rachel. I've got some information about the expenses you can claim on your income tax and how they appear on the Self-Assessment tax return.
In QuickBooks Online (QBO), expenses are costs that are essential and directly related to operating your business. These expenses can be deducted from your taxable income, which helps reduce your overall income tax liability.
It's important to note that expenses do not include personal purchases made with business funds.
On the other hand, disallowable expenses are those costs that are not necessary or solely for business purposes. These expenses can't be deducted from your taxable income. For more information about this, please refer to the HMRC guide.
With this, I suggest seeking assistance from your accountant for more in-depth guidance and information on adhering to the expenses claimed. If you don't have one, you can use our Find-an-Accountant tool to look for an expert near you.
To stay compliant, you can check out these resources that provide comprehensive information on tax regulations so you can let HMRC know how much Income Tax and National Insurance you owe:
For future reference, if you want to examine your business's finances closely, you can run a payroll report. It will provide a detailed summary of your company's payroll expenses, including employee salaries, bonuses, taxes, and other related costs.
I truly value your engagement and thoughtful inquiries on these matters, Rachel. Should you have any further questions or additional assistance with expense claims, please don't hesitate to reach out. I'm here to ensure all processes are handled seamlessly.
