Many practice owners and self-employed professionals are unaware of all the business expenses they can claim for some much-needed tax relief. Make sure you’re taking advantage of the tax relief you are eligible for before the end of the tax year.
This does not constitute advice and advice should be sought in all instances before acting on it. The Financial Conduct Authority does not regulate tax advice.
If you’re like other doctors and dentists, you’ve likely paid out of pocket for some of your work-related business expenses. People new to owning a business, being self-employed, or were unaware of changes might not know what’s deductible, or might just forget to claim particular business expenses. This is a mistake – you could be missing out on extra income that’s already yours!
Tax-deductible business expenses
HMRC defines tax-deductible expenses as either ‘travelling you had to do in your job’ or ‘other expenses you had to pay whilst doing your job which are exclusively related to doing your job.’
There’s no official list, per se, but some of the more popular items are:
- Professional fees and subscriptions such as BMA, GMC, MPS, Royal Societies…just to name a few.
- Business mileage or fuel, outside of your normal commuting costs.
- Tools and specialist equipment for example proper shoes, stethoscopes and new technologies to help you do your job.
The rule of thumb, is to always check with your accountant if you’re in doubt about whether or not something is deductible. In some cases, continuing education courses and exams might be covered, but a specialist accountant will know all the tax relief options available.
Work with the pros
Because what you can and can’t claim as a business expense isn’t always clear-cut, the best thing to do is employ the services of a good accountant and tax adviser. If you have a particularly complex situation, or if you have private practice income, rental, or other sources of income, professional guidance is always suggested.
In addition to business tax planning with your accountant, we can help ensure business owners and self-employed doctors and dentists maximise their business expenses before the end of the tax year. We’ll ensure you have a plan to make the most of the relief available to you every year moving forward. Get in touch to get started today.
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